What is the Levelling Up Home Fund and how will it impact self-build in the UK?
Levelling Up Secretary Michael Gove describes the scheme as driving “real change in towns and cities across the UK”.
It spells good news for small and medium house builders (SMEs) as the plan features a £1.5billion Levelling Up Home Build Fund to help SMES build 42,000 homes.
More details of the strategy are expected to be released but what do we know about the government scheme and what does it mean if you want to construct your own self-build home?
Who is eligible for the Levelling Up Home Build Fund?
Funds are available for custom and self-builders who can show that their project is financially viable and are planning on building or refurbishing five or more homes on a site in England. Being able to show that your project is reliant on this finance stands you in good stead and you must also demonstrate that you have a controlling interest in the land and a clear route to achieving planning permission.
Who could be first in the queue for funding, you may be wondering? Applications will be prioritised if SMEs can show that their project supports government policy priorities such as greener homes that support net zero carbon and support innovation in the housing market.
How much is available?
The Levelling Up Homes Building Fund offers loans from £250,000 and smaller loans for innovative housing solutions. Eligible costs will differ with each applicant - these depend on the type of funding requested. The loans have typical terms of up to five years and interest is payable at transparent, commercial, pre-agreed variable rates.