Housing Minister Brandon Lewis today (25 March 2015) announced a multi-million pound deal to ensure a 4,000-home development will get started within the next month.
The New Lubbesthorpe development near Leicester will provide 4,200 homes as well as shops, schools and a health centre.
The £9.4 million deal will get builders on site, and provide hundreds jobs for local residents within weeks.
Delivering thousands of new homes
Housebuilding is central to the government’s long-term economic plan, with starts at their highest annual total since 2007.
A key part of this has been to get work restarted on sites that were mothballed in the aftermath of the 2008 housing crash – including unlocking over 100,000 homes that had previously stalled.
Overall, 700,000 homes have been delivered since the end of 2009 and planning permission was granted on 240,000 new homes in the year to October.
Under the terms of today’s deal, developers ERB Drummond Trust will receive a loan of £9.4 million to build the key infrastructure linking Lubbesthorpe and Leicester city centre.
Key to this will be working closely with Leicestershire county council in the construction of a new road bridge across the M1 motorway.
The funding will also help towards other improvements, including a primary school and a new park.
The proposals for Lubbesthorpe have already been granted planning permission – this funding boost will mean infrastructure work can start imminently.
Housing Minister Brandon Lewis said:
The 2008 housing crash under the last administration led to the loss of a quarter of a million construction jobs, leaving sites abandoned and homes no longer being built.
That’s why we put housebuilding at the heart of our long-term economic plan, and today’s £9.4 million deal will mean work can get going at New Lubbesthorpe, delivering a new community where local people want to live.
Andy Rose, Chief Executive at the Homes and Communities Agency (HCA), said:
This is an excellent example of how the HCA works collaboratively with our partners to help deliver the key infrastructure to accelerate the development of large housing sites. The combination of HCA and Pinch Point funding will deliver a bridge over the M1 allowing the site to expand to provide up to 4,200 homes.
Councillor Ernie White, Leader of Blaby District Council, said:
I am delighted and hope to see work start on site very soon. Our population is growing and there is a real need to get this development built to provide homes for our community.
Funding comes from the government’s £1 billion large sites infrastructure fund.