EAST Hampshire District Council has bought an office block on Bedford Road in Petersfield as a cash earning investment.

But the council refuses to say how much it paid for the New Barn building, currently home to car finance experts Moneybarn. It is the fifth property bought by the council, which said last year it was looking at borrowing money to support its investment plans. It is expected the buildings will generate around £759,000 annually in rent.

This is about £650,000 more than could be gained via interest on savings, the council says.