Referral of the proposed Subsidy for Capitalisation of the National Housing Bank by Homes England
The Subsidy Advice Unit (SAU) has accepted a request for a report providing advice to Homes England concerning its proposed subsidy for the Capitalisation of the National Housing Bank.
Administrative timetable
| Date | Action |
|---|---|
| 27 February 2026 | SAU’s report to be published |
| 30 January 2026 | Deadline for receipt of any third-party submissions |
| 19 January 2026 | Beginning of reporting period |
Request from Homes England
19 January 2026: The SAU has accepted a request for a report from Homes England concerning the proposed Capitalisation of the National Housing Bank. This request relates to a Subsidy of Particular Interest.
The SAU will prepare a report, which will provide an evaluation of Homes England’s assessment of whether the subsidy complies with the subsidy control requirements (Assessment of Compliance). The SAU will complete its report within 30 working days.
Information about the subsidy provided by Homes England
Homes England is proposing to award a subsidy of up to £16 billion to establish and capitalise the National Housing Bank (NHB). This will allow it to help deliver on the Government’s housing and regeneration priorities; it will enable NHB to promote regeneration, development and increase the level of housing supply in England to address the significant shortfall of housing in England.
HMT’s Financial Transaction Control Framework (“FTCF”) states that the most suitable institutions to deliver large-scale financial transactions and guarantees are designated institutions (also known as Public Financial Institutions (“PuFins”)). Homes England currently provides large-scale financial transactions. To continue providing new large-scale financial transactions in the future, while remaining compliant with HMT’s FTCF, Homes England needs to establish a PuFin, in the form of the NHB. This requirement is referred to in the FTCF: “The Treasury and Ministry of Housing, Communities and Local Government are working together to ensure a suitable model is in place within Homes England to support delivery of the government’s housing commitments, in line with the principles of this framework.”
This referral concerns the subsidy to establish and capitalise the NHB. The NHB will in turn use this subsidy to finance the investments it will make. The NHB will have three broad intervention areas including debt, equity and guarantees. The NHB will complete a subsidy assessment and referral as necessary of these subsequent financial interventions to ensure compliance with the Subsidy Control Act.
Information for third parties
If you wish to comment on matters relevant to the SAU’s evaluation of the Assessment of Compliance concerning the proposed subsidy for the Capitalisation of the National Housing Bank, please send your comments on the date stipulated in the timetable above. For guidance on representations relevant to the Assessment of Compliance, see the section on reporting period and transparency in the Operation of the subsidy control functions of the Subsidy Advice Unit.
Please send your submissions to us at sau-nationalhousingbank-2026@cma.gov.uk copying the public authority, legalequityteam@homesengland.gov.uk.
Please also provide a contact address and explain in what capacity you are making the submission (for example, as an individual or a representative of a business or organisation).
Notes to third parties wishing to make a submission
The SAU will only take your submission into account if it can be shared with Homes England. The SAU will send a copy of your submission to Homes England together with its report. This is to allow the public authority to take account of the submission in its decision as to whether to grant or modify the subsidy or its assessment. We therefore ask that you provide express consent for your full and unredacted submission to be shared. We also encourage you to share your submission directly with Homes England using the email address provided above.
The SAU may use the information you provide in its published report. Therefore, you should indicate in your submission whether any specified parts of it are commercially confidential. If the SAU wishes to refer in its published report to material identified as confidential, it will contact you in advance.
For further details on confidentiality of third party submissions, see identifying confidential information in the Operation of the subsidy control functions of the Subsidy Advice Unit.
Contacts
- SAU project team: sau-nationalhousingbank-2026@cma.gov.uk
- CMA press team: 020 3738 6460 or press@cma.gov.uk