Cheaper debt for housing associations to build new homes

MORE than 870 new affordable homes will be built in the region after a government funding deal.

Housing Minister Kris Hopkins said 13 housing associations in the UK would receive a share of £208m in loans, offered at record low rates, to help deliver 4,800 new affordable homes.

In Greater Manchester there will be 429 homes built, while in Lancashire there will be 361.  Southport in Merseyside will benefit from 57 new affordable homes, and 24 will be built in Allerdale, Cumbria.  

The agreement forms part of the Affordable Housing Guarantees Scheme, which sees the government guaranteeing up to £3.5bn of cheaper debt for and allowing it to pass on these savings to housing associations to build new homes to rent for families in need.

Mr Hopkins said: “Thanks to our hard-won and strong economic record, cutting the record deficit we inherited, these housing associations have access to funding for housebuilding at some of the lowest rates the sector has ever seen.”