New National Housing Bank

The new National Housing Bank, announced last month, will be a subsidiary of Homes England.

It will manage £16 billion of investment made up of loans, equity and guarantees, looking to support the development of 500,000 new homes. It hopes to accelerate housebuilding and leverage in £53 billion of additional private investment.

The approach will mean Homes England is able to issue government guarantees directly and have greater autonomy and flexibility to make long-term investments.

There will be £2.5 billion of low interest loans to support the building of social and affordable homes.

The Bank will work with strategic authorities and local leaders to establish localised packages of support aligned with housing and regeneration priorities in those areas.

The Government says the National Housing Bank will be able to act as a consistent partner to the private sector, bringing the stability and certainty that housing developers and investors need to make delivery happen. It will also support SMEs with new lending products and enable developers to unlock large, complex sites through infrastructure finance.

A National Housing Delivery Fund will complement capital investment from the new National Housing Bank through £5bn in grant funding for infrastructure and land. This package will drive growth and transform places, boosting housing supply on otherwise unviable large and complex sites. It will also support land assembly, remediation and up-front infrastructure delivery.  

The National Housing Bank is good news for the North. It should boost delivery of new homes, particularly on more complex sites, such as those on brownfield land. Our Brownfield First research has identified that there is capacity for 320,000 new homes on brownfield land in the North, so unlocking these homes is a priority.

For more information visit GOV.UK and read the housing minister’s statement to the House.