Government to reveal housing stimulus package in the autumn

Government to reveal housing stimulus package in the autumn

The industry publication Property Week says it has exclusively discovered that the government is preparing a housing market stimulus package to be revealed at the Autumn Statement, expected to be made in late November or early December.

The magazine says the package will be aimed chiefly at improving the supply of new homes and will take the form of a multi-billion pound fund administered through the Homes and Communities Agency. 

At least some of it is reported to be targeted at small and medium-sized firms building new homes through modular construction; some resources would also go into site assembly for new build schemes, and financial guarantees to developers worried about the risks of delivering big schemes.

"It will mark a shift in attitude from the government to development: it is now willing to take on more financial risk than it has ever done in the past to tackle the ever-deepening housing crisis," writes Property Week's politics and policy reporter Samuel Horti.

"Housebuilders are known to be stepping away from land acquisitions in the wake of the Brexit vote and hesitating on fresh projects - bringing the need for alternatives into sharper focus - and well-placed sources acknowledge that the government understands the need to diversify supply sources," Horti says.

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