Government pledges multi-billion investment to revitalise housebuilding

Communities Secretary, Sajid Javid, has announced two multi-billion pound funding packages to help housebuilders and encourage construction on brownfield sites.

Mr Javid said he was ‘not afraid’ to admit that the country had not built enough homes in recent years. He revealed a new £3billion Home Builders fund that could help build more than 225,000 homes, which would go some way towards the government’s target to build one million new dwellings by 2020.

Another initiative unveiled by the Minister aims to encourage ‘accelerated construction’ on public land, with the government partnering with private developers to build a further 15,000 homes by 2020. The new scheme will encourage the creation of new supply chains by using offsite construction.

Mr Javid stated that the government’s additional plans to encourage the development of brownfield land could revitalise town centres, transform abandoned shopping centres and increase housing density around transport hubs.

He also hinted that more ‘significant’ measures will be announced in the forthcoming Housing Bill.

Mr Javid called on MPs and councillors to take a more positive approach towards development, saying: “Of course, there are valid reasons to oppose some planning applications,’ he said. ‘If they’re in the wrong place, or there’s not enough infrastructure, or they’re just plain ugly. But all of us have a duty to think about the long-term consequences of every decision we make.’

Adam Davis, a Partner with Palmers who specialises in construction law, said: “On the face of it, these proposals offer encouragement to the construction and engineering sector which had been facing uncertain times in recent months. The minister’s words will hopefully remind both central and local government departments that there is much work to be done to drive through housebuilding projects if the country is to achieve the target of one million new homes by 2020.”

At Palmers Solicitors, we can provide comprehensive advice and guidance to construction companies on all aspects of construction law, including advising on and drafting contracts for new work, applications for payments and liquidated and ascertained