The loans – which will range from £5m-£100m – will be competitively priced and available to developers and housebuilders who are able to demonstrate the necessary experience and track record to undertake and complete their proposed project.
A key priority of the housing delivery fund is to support SMEs to develop homes for rent or sale including social housing, retirement living and the private rented sector, while also supporting innovation in the model of delivery such as brownfield land and urban regeneration projects.
Commenting on the launch of the fund, John McFarlane, chairman at Barclays (pictured above, second left), said that there was a vital need to build more good quality homes across the country.
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“This £1bn fund is about helping to do exactly that by showing firms in the business of housebuilding that the right finance is available for projects that help meet this urgent need.
“We are very pleased to be working with government to get the country building more homes, more quickly.”
James Brokenshire, housing secretary, added: “My priority as housing secretary is to get Britain building the homes our country needs.
“This new fund – partnering Homes England with Barclays – is a further important step by giving smaller builders access to the finance they need to get housing developments off the ground.
“This is a fantastic opportunity to not only get more homes built, but also promote new and innovative approaches to construction and design that exist across the housing market.”
Of the £1bn fund, Barclays is providing £875m, while Homes England will contribute £125m.
Also pictured (l-r): Dennis Watson, head of real estate at Barclays; Ed Lister, chairman at Homes England; and Nick Walkley, CEO at Homes England.