A NORTH-EAST town has increased its targets for housing development following devolution deals signed for the region last week.

Darlington already had an economic growth plan in place to provide 6,700 new homes, 8,000 new jobs and 656 new businesses by 2025.

But a Property Forum event – hosted today by Darlington Building Society and attended by local property businesses – was told that following the devolution deals, targets are now more ambitious for housing growth.

John Anderson, representing Darlington Borough Council, told the meeting that Darlington was the top performing town outside of London in the Royal Bank of Scotland's quarterly survey on economic growth.

He said a new economic strategic plan would be presented to Darlington cabinet members in November to take the borough to 2036 and embrace the Northern Powerhouse initiative and make the best use of devolved powers.

The strategy includes making Darlington Railway Station "HS2 proof" and talks are taking place with Highways England about transport infrastructure, including the potential for a new relief road linking the A66 and A1.

"In terms of our housing ambitions, we are looking for Darlington to meet a need of around 500 dwellings a year. We are producing half that at the moment," said Mr Anderson.

He added that the intention was to use the Feethams development, with a new multiplex cinema, bars and restaurants, as the catalyst for more residential properties in the town centre.

Estate agent Gordon Garver said: "Demand is relatively strong but supply is not as great. We need more houses to sell." Jemma McCready, of Sanderson Lettings, said the same picture applied to the lettings market.

Ben Quaintrell, of My Property Box, said there was a particular shortage of one-bedroom studio flats, and John Chipchase, of Close Thornton, said more help was needed to encourage first-time buyers.

Darlington Building Society chief executive Colin Fyfe, who chaired the meeting, said: "We are in a period of momentum in Darlington because of new business being won and we need to ensure the rest of the support infrastructure is in place: transport, leisure housing, and mortgage provision.

"The expectations in a devolved area will be higher and that's raised the bar. It would appear that Darlington is up for the challenge to double the number of houses built and there is a determination not to be left behind."

Mr Fyfe said there was a need for local estate agents to help formulate a co-ordinated plan to ensure that the strategy met the needs of the local market.