The mayor’s new Homebuilding Capacity Fund will allow councils to bid for up to £750,000 each to boost their teams, which could include hiring new staff to head up council homebuilding projects and develop new master plans.
The fund is being financed through the business rates retention pilot.
- Sadiq Khan provides funding for self-build community scheme
- New London estate regeneration rules come into force
- Sadiq Khan boosts affordable housing to 50% at Olympic legacy sites
The mayor will consider bids that help to deliver:
• a new generation of council homes
• more homes – including social rented and other genuinely affordable homes – on small sites
• proactive master plans in areas with significant growth potential
• optimal density across new residential developments in an area
The Homebuilding Capacity Fund will run alongside other practical support that City Hall is providing to help councils build again.
“London’s housing crisis has been decades in the making and there is no easy solution – but we will only make progress if councils can take a lead in getting new homes built,” said the mayor of London.
Khan felt that councils wanted to do more to tackle the supply of housing but had been hit by budget cuts.
“My new Homebuilding Capacity Fund won't reverse those cuts – but it will help ambitious councils to enhance their capacity to deliver large-scale, new-build programmes.
“I am able to do this thanks to the business rates devolution deal between the capital and central government – giving us more control to spend more money on the things that matter most to Londoners."