The Government has announced is to come up with some funding to plug the £610 million gap in the Homes and Communities Agency’s (HCA) finances which has seen all uncontracted publicly-funded housing projects shelved
Treasury officials will find at least £140 million for some of the developments which have been legally-contracted, Housing Minister Grant Shapps said. He was also hopeful that funding above this figure would also be made available.
If extra money is found, private sector Kickstart projects, worth about £214 million and on hold since the general election was called, could be handed a reprieve.
Shapps said: ‘In the next week or two we will have an allocation covering the money my predecessor [John Healey] had already spent. We’ll have to find £140million because that has effectively already been spent. The rest of the £610m is down to the Treasury - it’s how much it will spare us.’