Peterborough City Council is now taking action to highlight the strain empty houses can put on society and their possible use for criminal activity.

Owners are being warned that such premises can attract squatters and drug dealers.

The city council offers owners a range of options – including an empty property grant of up to £20,000 for any works needed to bring the property back up to a standard where it can be put up for rent.

Empty properties are not only a wasted source of valuable housing they put a blight on neighbourhoods and can be targets for vandalism. One such house was targeted by drug dealers and turned into a cannabis factory.

Cllr Keith Sharp, who represents the city's North ward, said he was shocked that so many properties are standing empty.

He said: "It's outrageous. What the Government needs to do is sort out legislation to make it easier for local authorities to recycle the houses so they can be used for people who need them.

"If I was to walk around the city for 30 minutes, I would find many homeless people who could use these properties."

Senior enforcement officer in the city council's private sector housing team, Jo Hodges, said: "Don't run the risk of your empty house being turned into a cannabis factory.

"Whether you're the property owner or live near to an empty home, contact us and we will do all we can to ensure it doesn't blight your neighbourhood and can once again become a home."

A city council spokesman said there were a number of reasons why homes are left empty. The include owners being unable to afford renovation work and people being left property by relatives but being unwilling to sell or rent them.

The council launched a Private Sector Leasing Scheme, in conjunction with Homes for Houses, in April.

Ms Hodges added: "It gives owners the opportunity of handing their property over to the council for a minimum term of three years in return for a guaranteed fixed rental income each month.

"Our partners, Homes from Houses, place the tenants and carry out the day-to-day management of the property over the term of the lease.

"There is the added advantage of a guaranteed income and relief from council tax liability.

"So far we have successfully secured seven properties on the scheme, with several more in the pipeline. These have provided desperately needed homes for people in the city."

Peterborough is no different to the rest of the country, where the Government recognises that empty properties are a huge problem throughout the country.

It granted local authorities extra powers in the Housing Act, which came into force in April 2006, in the form of Empty Dwelling Management Orders.

The city council's cabinet member for housing, economic development, regeneration and growth, Cllr John Holdich, said: "Many of the people on the housing list are young couples who cannot afford to get on the property ladder.