Government plans £866 million funding for the development of new homes

Arthur investigates the Government’s recent funding scheme to support the development of high quality infrastructure for 133 councils

The UK Government has set a target of 300,000 new homes to be built every year up to the mid-2020s. The £866 million fund is part of the £5 billion ‘Housing Infrastructure Fund’ that has been set up to increase the speed at which new homes are being constructed to help alleviate the current housing shortage.

This investment finances 133 councils to built essential services and resources such as roads, cycle paths, flood defences, energy and water supply and land remediation work to pave the way for expansion and make housing developments viable in some of Britain’s highest demand areas. Housing Secretary Sajid Javid explained that without this financial support these projects would struggle to go ahead or take years for work to begin, delaying the homes these communities need.

The Government highlighted some infrastructure development projects including:

• Manor Cluster in Sheffield, where £3.6 million funding for drainage works, new roads and footpaths will help unlock more than 400 homes by 2025.
• Ashton Green in Leicester, where 3,300 homes are in the pipeline following a £10 million investment for new roads.
• Botley in Hampshire, where 1,000 properties will now be constructed due to a bypass.
• Ilfracombe Southern Extension in Devon, where 750 new homes can be unlocked thanks to a £6.5 million funding for a new primary school

The infrastructure fund is just one of the many Government schemes introduced to boost homes development. Other initiatives include shortening the time taken for planning permission to be obtained, changing rules to accommodate the conversion of agricultural or industrial buildings into housing and providing extra cash for the Home Builders Fund, which helps small developers access finance.

Follow us on Twitter for the latest property news!