The UK government is launching a new National Housing Bank to help solve the country’s housing crisis.
The bank will support developers with £16 billion in public funding. Another £6 billion is already in place. These funds will attract an estimated £53 billion in private investment.
The goal is to build more than 500,000 homes. This will also help create new jobs and boost the economy.
The Housing Bank is part of Homes England. It will have the power to issue loans and guarantees. The bank will also provide funding for large and complex housing projects. This will give developers more confidence to build and invest.
Angela Rayner, the Housing Secretary, said the new bank is part of a wider plan to fix the housing system. She explained that too many people still live in poor conditions or struggle to buy a home. Rayner believes this new bank will help change that.
The government is also investing £39 billion in social and affordable housing. The target is to deliver 1.5 million homes.
The new bank will support smaller developers too. Many of them find it hard to access funding. With the bank’s help, they can grow their businesses and build faster.
In addition to loans, the bank will offer infrastructure support. This includes help with utilities, roads, and land preparation. Many housing sites stay undeveloped due to these early costs.
Industry leaders are welcoming the move. They believe it will speed up construction and make housing projects more flexible. Some see it as a game-changer for public-private partnerships.
The bank will also work with city leaders. This includes support for housing in London, Manchester, and other regions. New funds will help meet local targets and create vibrant new communities.
The Housing Bank will act as a long-term partner in the UK’s housing sector. Its goal is clear: to unlock growth, reduce shortages, and help more people find a decent, affordable place to live.
