Hopkins announces more than £900m New Homes Bonus allocations

Out-Law News | 04 Feb 2014 | 12:17 pm |

Councils across England will be allocated a total of £917 million in the 2014/2015 financial year under the Government's New Homes Bonus scheme, Housing Minister Kris Hopkins has announced.

Hopkins said that the latest allocations bring the total amount rewarded to councils since the launch of the scheme in 2011 to £2.2 billion. The bonus payments have been awarded for the delivery of 550,000 new build homes and conversions, including over 160,000 affordable homes, and for bringing 93,000 empty homes back into use.

The scheme was launched to encourage the building of new homes by paying a bonus to councils based on the amount of extra council tax revenue raised for new build homes, conversions and long-term empty homes being brought back into use.

Hopkins said that new figures from the National House Building Council had shown a 28% increase in housing supply in 2013 compared to 2012, and that housebuilding is at its highest level since 2007.

"The New Homes Bonus lets local people share in the benefits of development, with councils free to spend the money to benefit their local area," said Hopkins. "And getting Britain building in this way is critical to our long-term economic plan, not only building the homes communities need, but creating thousands of new jobs and apprenticeships across the country."

"We will continue to pay the bonus in the future to ensure that places that have built houses are properly rewarded for doing so," Hopkins added.