The Government has confirmed it will set aside £8.6billion to help fund the development of thousands of new residential properties.
In total, almost 120,000 new homes are to be constructed, as part of the single largest affordable housing project in ten years which will ultimately see the creation of 300,000 new homes by the mid-2020s.
The construction project will see the creation of 29,600 new homes for social rent, 6,250 affordable homes in rural areas and 57,000 for ownership.
The Ministry of Housing, Communities and Local Government has indicated that around half of the new homes will be available for affordable home ownership.
The funding for the development of nearly 30,000 homes for social rent will also deliver new supported housing for some of the most vulnerable, as part of the Government’s proposals to reduce homelessness.
Announcing the latest investment plans, Housing Secretary Robert Jenrick MP said:
“This £9 billion funding is a landmark moment for our Affordable Homes Programme and will ensure good quality housing for all as we build back better after the pandemic.
“We are also ensuring tens of thousands of new homes for rent are built in the years ahead, including social rent, so those on the lowest incomes can enjoy good quality, secure rented homes, built and managed by reputable providers.”
CEO of Homes England Peter Denton said: ”Not only does [the] announcement give our new Strategic Partners the funding, flexibility, and confidence they need to build much needed affordable homes across the country, it also establishes a large network of organisations looking to share their skills and capabilities to expand the affordable housing sector and transform communities.
“By forming Strategic Partnerships with a wide range of public and private organisations, we are creating the conditions needed for institutional investment to catalyse affordable housing supply and in future give local authorities more of the tools they need to plan and act strategically, shaping their communities and building new homes.”
Adam Davis, a Director with Palmers Solicitors, who specialises in construction law, said: “This announcement is very positive news for the construction industry and will hopefully lead to continued growth and opportunities for local construction and engineering sub-contractors in our region.
“Our experience in working with the construction and engineering sector means we are ideally placed to provide independent, practical advice to help firms with their contracts, as well as tender submissions.”
For help and support on contract submissions and project delivery compliance, please contact Palmers specialist construction team.