Small home builders play a key role in keeping the country building and this latest cash boost shows that the government recognises this and is willing to support.
Housing Minister Brandon Lewis created the ‘The Housing Growth Partnership’, which will invest alongside smaller building firms in new developments, whilst also providing money to support their businesses.
Richard Carr is also pleased to see the initiative seek to create a ‘hub’ of builders and experienced developers who will act primarily as mentors and advisors for smaller firms looking to expand and grow their business.
£50 million of the £100 million investment has come from the government whilst the other half has been provided by Lloyds Banking Group. The partnership expects to make around 50 investments, with the aim to provide an additional 2,000 homes.
“The 2008 economic crash devastated our army of small builders, with delivery falling from 44,000 homes to just 18,000 and now seven years on companies are getting back on their feet but we’re determined to give them all the help they need,” said Lewis.
“Access to finance is one of the biggest challenges they face so this £100 million commitment will help our smaller builders fund new projects, expand their businesses, create more jobs and build more homes.
“With housing starts at a seven year high and climbing and homes granted planning permission at 261,000, the highest since 2007, this work will ensure we maintain this momentum and keep the country building.”
It’s hoped that the initiative will help challenge the current lack of housing supply and affordability in the UK’s housing market.
Richard Carr believes that the initiative is a constructive move by the Conservative government and hopes to see more of the same in the future.