As much as £50m could be invested into community-led house building following a further funding announcement from the government. A £20m package for community groups, such as community land trusts and housing co-operatives has been allocated by Housing Minister Matthew Pennycook; with hopes of up to £30 million in match-funding from the private sector as well as local authorities and combined mayoral authorities.
The government say community-led housing, where local people take the lead in the design and location of new homes, could build up to 2,500 new homes over the next decade to specifically address local needs in their area; adding community groups are able to access land and receive planning permission where speculative developments cannot.
While community-led housing development is popular elsewhere in Europe, it is ‘grossly under-developed’ in the UK. The funding is the first time the government allocated the capital needed for this type of housebuilding on this scale. The project is being led by Resonance who have strong experience in working with community organisations to support the delivery of these homes they say.
Head of Developing Communities at Resonance, Jon Rolls said:
“This is a landmark moment for our fund and for the community-led housing movement. MHCLG’s investment will act as a vital catalyst, unlocking more support for communities determined to shape their own futures. It’s simple – when communities are in the driving seat, brilliant things happen.”
This latest investment news follows the announcement of £2bn in funding for 18,000 new social and affordable homes as part of the Plan for Change and efforts to build 1.5m new homes in this Parliament.
Housing and Planning Minister, Matthew Pennycook said:
“Community-led housing not only delivers social and affordable homes for local people, it also gives local communities a greater say on where new homes are built and how they are designed. This investment will help community-based organisations overcome barriers to housing delivery and will support the growth of the community-led housing sector. Through our Plan for Change we are boosting housing supply and reforming the housing system, delivering on our commitment to the biggest increase in social and affordable housebuilding in a generation.”
The Long-Term Housing Strategy, which will consider further house-building measure, including the growth of community-led housing, will be published later this year.
