Small and medium-sized housebuilders have been invited to apply for £300 million in equity funding to support the development of 10,000 new homes by 2025.
The Housing Growth Partnership (HGP) was launched today in collaboration with Lloyds Banking Group and Homes England.
If you are a developer, here’s what you need to know.
What is the Housing Growth Partnership?
According to the Government, the HGP aims to “bridge the homebuilder funding gap, allowing housebuilders to build more homes across the UK and grow their businesses.”
Supporting the development of 10,000 new homes by 2025, the fund can be used to deliver a wide range of housing projects, including Build to Rent, Regeneration and Retirement Living.
The funding will be provided via a split of £180 million from Lloyds Banking Group and £120 million from Homes England.
How much funding is available?
Up to £10 million per investment is available for individual housebuilders, for projects with a development value of up to £75 million.
Am I eligible for funding?
Developers building between five and 500 units per year are eligible for support from the Housing Growth Partnership.
“New multi-tenure approach will provide more flexibility for housebuilders”
Commenting on the launch of the scheme, Vic Hepburn, CEO of Housing Growth Partnership, said: “We are pleased to be building on the success of the Housing Growth Partnership by extending the range of support we can provide to the UK housebuilding market.
“This includes our new multi-tenure approach which will provide more flexibility for housebuilders and more choice for homebuyers.”
Housing Minister Christopher Pincher added: “A thriving SME sector is crucial to our house building targets and ambitions. This significant amount of funding will help smaller and regional housebuilders by providing them with the financial support necessary to deliver much needed new homes.”
Get advice today
To learn more about the scheme and how it could help your business, click here.
For help and advice with related matters, please get in touch with our team today.