National Housing Bank deal could bring up to £500m into Greater Manchester housing
The deal with the combined authority is the first of its kind in England, but each project will still have to pass the bank's own due diligence and approval before any money is lent or invested.
By Daily Oracles News Team1 min read
Greater Manchester Combined Authority has signed a framework agreement with the National Housing Bank, the public financial institution run by Homes England, that could bring up to £500m of investment into new homes and mixed-use regeneration across the city region. Homes England said on Friday that it was the first agreement of its kind in England.
The figure is a ceiling rather than a sum handed over. Schemes will be considered for funding only if they fit the National Housing Bank's mandate, and every proposed investment will go through the bank's standard due diligence, governance and approval processes.
The bank's money would be invested in projects alongside the Greater Manchester Good Growth Fund, which the combined authority launched a year ago. According to the combined authority, the fund has committed over £900m since then to housing, employment space and infrastructure, supporting more than 4,600 homes and over 2 million sq ft of employment space. It has been built from the region's integrated settlement, investment from government, the Greater Manchester Pension Fund and borrowing against future growth in retained business rates.
Homes England said the agreement builds on earlier joint work with the city region, including the Victoria North scheme and projects in the Stockport Mayoral Development Corporation area. Greater Manchester was also the first combined authority to sign a Strategic Place Partnership with Homes England.
Mayor of Greater Manchester Bev Craig linked the fund to the region's Social Contract, under which those receiving public money are expected to give back to communities, including through apprenticeships, work placements and opportunities for local businesses. The deputy mayor, Salford City Mayor Paul Dennett, said the fund was being used to open up complex sites for more social, affordable, energy-efficient and accessible homes.
Neither Homes England nor the combined authority named which schemes would be put forward first, or gave a timetable for the first investments.
