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Newcastle awarded £11.8m to deliver new affordable homes

ByCharley Williams

Jan 3, 2017

Newcastle City Council has been awarded over £11.8 million of funding from the Homes and Communities Agency (HCA) to deliver up to 449 new affordable houses across the city.

The windfall secured by the council is the largest in the North East and, and significantly higher than other core cities across the UK, and will help to realise its commitment to create stronger communities with the homes people need.

This funding will now allow the council to bring forward a range of housing options to deliver on its ambitious programme for affordable homes in Newcastle across 20 council-owned sites.

Three different types of accommodation will be delivered up to 2021 including shared ownership, which is aimed at young families to own a home with space to grow, and live in a home they can afford in a community they want to live. Rent to buy offers tenants the option to purchase property over a period of time, giving them that all important first step on the property ladder. Both these options will be attractive to economically active households who are unable find the right property that they can afford. These initiatives will help Newcastle become more attractive to those who are already working here or intend to move here to be closer to work.

Specialist housing is targeted at the most vulnerable residents including older people, and those with long term disability needs.  A bungalow programme across several neighbourhoods will allow older people to remain near their existing family and support networks.  Schemes for individuals who have care needs will mean that more residents can remain independent and avoid an unwelcome move to institutional care.

Cllr Jane Streather, Cabinet Member for Public Health and Housing said: “The council is committed to creating the right conditions for long term economic growth and to continue to support residents who are vulnerable to stay within a local community,  improving their long term health and wellbeing.

“Our delivery model is a very much based on investing to save in order to establish sustainable and balanced communities, creating employment and training opportunities for local people.”

The council has adopted an innovative approach to preparing council-owned land ready for development, giving the market confidence and encouraging investment, and minimising the risk for developers, particularly for large scale mixed tenure developments.

This announcement builds on an existing £9m partnership the council already has with the HCA to deliver 300 affordable homes, including the recently completed scheme at Daisyhill in Walkergate, incorporating 12 two bedroomed bungalows (pictured).

The new funding has been awarded by HCA’s 2016-21 Shared Ownership and Affordable Homes Programme, and will be used as follows:

Help to Buy: Shared Ownership



Rent to Buy



Specialist Homes for Rent



Councillor Streather added: “Securing this new funding will provide a wide range of choices to suit the individual needs of all our residents, and importantly offer facilities that will allow those with care needs to live independently, easing the pressure on care budgets.

“I’m delighted that we’ve able to secure funding, and look forward to strengthening our partnership with the HCA in delivering this five year programme.”

The new affordable homes will be delivered through the council’s contractual framework which includes registered housing providers and commercial developers. Part of the programme will be built and managed by the council’s Arms Length Management Organisation (ALMO) Your Homes Newcastle.