House Building Fund & The Housing Infrastructure Fund
6th February 2018
The Housing Infrastructure Fund provides gap funding for projects whose viability is questionable. This fund was started in July 2017. Local funded schemes include:
• Castleward Urban Village Derby attracted over £3m of funding
• Hogshaw & Granby Road in Buxton attracted over £2m in funding
• Gainsborough Southern Urban Extension attracted over £2m
• Burslem Town Centre attracted over £10m
The fund is used by Local Councils and the Environment Agency to provide new infrastructure. It can also be used for Local Plans where the plan is aimed at delivering additional housing. Through Homes England (formally the Homes and Community Agency) Homes England can undertake strategic acquisitions and funding is available to increase the number of affordable homes on a site.
The House Building Fund is targeted at small builders and the construction of multi tenure homes with £1bn available for house building. The fund can be used by small builders building one-off developments and for custom building schemes consisting of 5 or more dwellings. The fund provides risk finance with land at value, not cost, with finance for periods of 2 to 3 years. Information on both funds can be found on the Government website. The House Building Fund can be accessed by local developers and can be a useful reservoir of additional finance.