Announcement of support for home building07 October 2016
The Housing Forum welcomes the announcement of additional funding to support the Home Building Fund and the introduction of the Accelerated Construction Fund announced by the Chancellor and Communities Minister this week.
The funds will provide £1bn of development finance for 25,000 homes this Parliament and up to £2bn for longer term delivery. The Accelerated Construction Fund has also been announced to support building on Government land, reduce development risk on brownfield sites and offer support to local councils to bring forward their own sites.
Recent statements from the Housing Minister that there will be greater flexibility so that local areas can address their housing needs without recourse to fixed proportions of tenures are welcome; however more detail is required on how and what range of tenures will be funded. The increase in funding is encouraging but the availability of public land must be accelerated in order to meet the government’s ambitious targets of 1 million homes by 2020.
The Housing Forum welcomes this stimulus to drive up supply and in its forthcoming report “New Solutions to Housing Supply“ will argue that new entrants to the housing market need to be encouraged to build for all tenures if we are to address the serious housing shortfall.
Stephen Teagle, Chief Executive, Partnerships and Regeneration at Galliford Try, and Deputy Chairman of The Housing Forum is leading the report and has called for a long term commitment to address shortages that have accrued over at least a decade. Stephen Teagle said:
“These funds can make an important contribution to speed up delivery and encourage further investment in the supply of new homes. A flexible approach to the structuring of the loans and a recognition that decisions are needed quickly, will encourage their use. It is another example of how joint working between public and private organisations can balance risk and accelerate delivery.
“We also look forward to the autumn statement and hope there are further announcements of support to help us regenerate our cities and neighbourhoods.”
To access finance via the Home Builders Fund please visit Homes & Communities Agency’s digital platform at www.gov.uk/homebuildingfund which is the first port of call for anyone looking for information about the fund.