COLCHESTER Council will receive a £5.7million bonus because of the number of new homes being built.

It is £1.4million higher than any other Essex council is getting for 2016/17 and more than £1million up on the previous year.

There were 898 new homes built in Colchester in 2014/15.

In Basildon, there were 809 built by the council there is only getting £3.8 million.

Rob Holbrook, managing director of housebuilder Barratt Homes Eastern Counties, said: “The New Homes Bonus is a good way for communities to get additional benefit from the construction of new homes.

“On top of the jobs and direct investment that come when we build the homes the area needs, this Government funding can help to pay for much needed services and local facilities.”

Colchester Council will put £1.8 million towards its general budget while £250,000 will be put into a pot to help them buy commercial property to make more money.

About £3.3million will be spent on specific projects.

It is this bonus which will contribute £1million to the Mercury Theatre project, £1.4million to improvements at Leisureworld and £400,000 on the Creative Business Centre in Queen Street.

There will also be £200,000 from here spent on the new Wonderhouse museum in the former bus station, £500,000 on council IT, and £100,000 on improving CCTV in the town.

About £50,000 will be put towards work on the feasibility of building two new villages on the borders of Colchester.

About £100,000 will be spent on traffic improvements by The Albert roundabout and heritage signs along North Station Road and North Hill for people coming from the station.

Another £65,000 will be used to reduce deprivation by offering housing and health advice in Colchester’s most deprived wards.

And £102,000 will be split into grants of £2,000 which each councillor can spend on something specific for their ward.