Government funding set to boost homebuilders

Homebuilders across the UK are being encouraged by the government so demonstrate their skills with a £26million fund, writes development specialist Richard Carr.

Variety for first time buyers

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Homebuilders set to benefit from a £26m government fund

First time buyers will be able to see different types of properties in the coming years thanks to a £26 million fund delivered by the government to housebuilders.

The initiative is part of the government’s wide pledge to deliver 200,000 starter homes by the year 2020.

The money will support a variety of aspects of the property market including: developers, councils, housing associations and small builders. The government hopes that the investment will improve the quality of starter homes compared to what is currently on the market for first time buyers.

Brownfield incentive

Another of the government’s wishes is to increase the amount of development completed on brownfield land. As a result, some of the fund will be used to purchase brownfield sites which will provide land for starter homes.

There’s also good news for tax payers as the money made from the sale of the sites will go back to the government.

To help this process a further £10m has been made available by the government for local authorities to prepare more brownfield land for the development of starter homes.

Communities Secretary Greg Clark said:

“As a one nation government we are on the side of hard-working people and that is why we are committed to delivering 200,000 starter homes by the end of this Parliament, providing a real boost to aspiring young first-time buyers.

“This competitive fund will build homes that will clearly show the wide range of new properties that will be available for first-time buyers as they take their first step on the housing ladder.”

Housing Minister Brandon Lewis said:

“Helping young people achieve their dream of home ownership is a real priority for this government. We’ve already helped more than 100,000 households buy a home through our ground-breaking Help to Buy scheme and starter homes are another game-changer.”