£2.3bn investment could speed up housebuilding
The Communities Secretary has recently launched a £2.3 billion fund with an aim to boost the housing supply in areas where demand is high.Providing further funding for physical infrastructure, Sajid Javid explained at the LGA Conference that the finances could potentially unlock the construction of a further 100,000 new affordable homes.
Available through the Housing Infrastructure Fund (HIF), Javid stated that the money would go towards the building of bridges, roads and energy networks, improving the efficiency of housebuilding and in turn, the speed of construction.
As well as inviting bids from local authorities to improve construction time, funding will also be accessible for other projects designed to make room for growing communities. These include healthcare centres, new schools as well as other developments which aim to reduce pressure on public services.
Following approval, it is anticipated that local authorities will start the building of the new infrastructure right away, with the development of affordable homes coming shortly after this.
Originally announced in the Autumn Budget last year, the HIF forms part of the £23 billion National Productivity Investment Fund, designed to increase spending in areas which are vital for effective productivity. These include transport, housing and digital communications.
Commenting on the importance of the infrastructure, Sajid Javid stated: “To build the homes this country needs, we need to deliver the right infrastructure in the right place at the right time.
“By investing in local infrastructure, we can help unlock building thousands of new homes in the areas where they are needed most. The Housing Infrastructure Fund will also make sure we have better public services in place for local communities.”
Also sharing his views on the vitality of funds was Andrew Jones. The Exchequer Secretary to the Treasury highlighted the potential productivity boost, stating: “Where we live plays a huge part in our lives; from the distance of our commute to the local facilities available. By ensuring we have enough housing in areas where it is needed the most, we can boost productivity and support new communities to grow and thrive.
“This money is part of our £23 billion National Productivity and Investment Fund, which will ensure Britain is match fit for the future.”