£624m of loan funding to support thousands of new homes

The government has said that communities across England will be transformed with new schools, health services and transport links to support the delivery of thousands of new homes.

The Department for Levelling Up, Housing and Communities has said that loan funding of at least £624 million will be available for house builders, including SMEs, to improve the vital infrastructure needed to kick-start new housing projects, with a particular focus on transforming unsightly and derelict brownfield sites.

Housing Minister Christopher Pincher has said that the loan will pave the way for up to 116,000 new homes to support people on to the housing ladder, and will boost smaller building firms and create thousands of new jobs.

The funding is part of the £2.2 billion loan financing made available at Spending Review 2020 to support infrastructure and drive housing supply. Loans will be administered by Homes England through the Home Building Fund.

Pincher said: “We are building the right homes in the right places so more young people and families can get on the housing ladder. Improving transport links, building schools and health facilities are key to unlocking new homes and creating vibrant places where communities can thrive. This money will build on our commitment to bring derelict and abandoned sites back to life, regenerating towns and cities as we level up across the country.”

Peter Denton, chief executive of Homes England, said: “This new infrastructure funding will be a powerful catalyst for creating new homes, places and communities. It gives us the resources we need to back more developments like Houlton in Rugby, where a £35 million funding injection has helped to create new primary and secondary schools, a link road to Rugby town centre, and wider infrastructure needed to build a community of up to 6,200 homes.”