PM to announce an increase in the release of Government-owned land

New figures show that Government-owned land could be used to deliver 83,500 new homes, a 35,300 increase on previous figures announced by Cameron, which only indentified enough brownfield land to deliver 50,000 new homes.

Cameron is due to make the announcement of the extra land ahead of the November 29 growth review, most of which will be made available under the Government's "build now, pay later” model, ministers said.

The "build now, pay later" model was engineered by housing minister Grant Shapps to boost house building. Under the scheme, developers do not have to pay for the Government-owned land until the homes are complete, providing relief from cash flow pressure and enabling them to start building quickly.

The news will form a key part of a housing announcement by the Prime Minister before the wider growth review on November 29, in which George Osborne hopes to unveil a new investment vehicle to funnel £50bn of private money into new infrastructure projects

The chancellor is drawing up plans to encourage pension funds and insurance companies to help pay for roads, power plants and houses, promising them revenue from tolls, energy bills and rents in return.

“The Government made clear we can only solve the housing crisis by building more homes. That is why we’re determined to bring forward derelict brownfield land that the government holds,” said Shapps.

The first six Government owned sites that were released for development were announced on 30 March 2011, which had potential to deliver 3,000 new homes. The new announcement expected by Cameron will identify an increase in the sites available to help developers deliver around 83,500 new homes.