Villagers have reacted angrily to news that 20 affordable homes are in jeopardy following claims no housing association is willing to buy them at an acceptable price.

The planning agreement for land off Beech Drive at Thornton – a few miles from Coalville – could be amended so developer Cora can scrap the affordable housing requirement on the plot near Thornton Reservoir, and instead hand four one-bedroom maisonettes over to Hinckley and Bosworth Borough Council.

The development of 49 homes was finally approved after Barwood Homes and JH Hallam and Son took the council to an appeal in 2022 following several rejections by the council's plans committee. At the time, the affordable homes were mentioned by inspector H Baugh-Jones as a 'benefit'.

Cora has now taken over the scheme and says it can't interest any housing associations in taking on the properties, which were to be provided under a section 106 agreement – where developers provide facilities or make financial contributions to offset the impact of a development on the local area. Members of the council's plans committee will decide on Tuesday, January 16, whether to agree to scrap the affordable housing requirement and accept the four houses.

But local people have objected to the developer's application to change the agreement, with villagers claiming the offer of houses to the council amounts to a 'de facto bribe' and adding they feel 'disregarded in the pursuit of profit'.

One resident's objection read: "During the appeal process there was significant emphasis put on the fact that there was a waiting list of people wanting affordable housing so they could move into the village. I presume this list has either evaporated or it is no longer a priority?"

Another said: "I am somewhat flabbergasted at the nature of the proposed changes on both a moral and ethical ground as well as the outright brazen nature of what I would consider to be a de facto bribe through the proposed gifting of properties to the council." While another angry resident added: "This request to rescind the proposed 20 affordable homes from a 49-dwelling development (40 per cent of the development) feels of incredibly poor taste."

But Cora says it has only received two offers from housing associations – both at less than 50 per cent of what the properties would be worth on the open market – and would require the developer to deliver them at a loss. It also says the Homes England grant funding – a Government-funded scheme supporting the costs of developing affordable homes for rent or sale – has undermined housing associations' interest in buying homes provided under section 106 agreements.

In a letter to the council, Cora says: "It is understood that a number of developers operating within Hinckley and Bosworth are facing similar challenges in delivering policy compliant affordable housing and the council has previously approved similar alterations for the delivery of affordable housing."

An updated plan for the scheme shows the four properties that could be given to the council as being part of a total of 49 homes on the site, indicating the full approved number will still be built.

In a report to members of the planning committee recommending the proposal be approved, council planning officers say: "It is considered this is the best route to securing housing benefit to the community. The proposed variation to the section 106 agreement is therefore judged to be acceptable in respect of affordable housing. It is also noted that failure to resolve the issue of affordable housing delivery would delay the construction development on the site and its role in contributing to housing in the borough."