Future Proof: Accelerating Delivery of High Quality Development Across the LEP
By end 2019 the project will seek to create a radically different financial product (FP) used to accelerate the delivery of housing developments which are future proofed for 2050. It will help overcome the following barriers to housing delivery highlighted by the Letwin Review, by taking a long term approach to development finance:
- Lack of access to finance and opportunities for SME developers who could help increase supply
- The traditional control of housing supply by major house builders with slow build out rates limited by the absorption rate of the way the mainstream housing market is financed
- Suppressed demand for differentiated types and tenures which could increase build out rates
- Poor quality or outmoded construction processes which do not stand the test of time or adopt innovative methods such as off-site
- Lack of long term approaches to managing community assets
- Technical / physical and financial barriers to new infrastructure e.g. utilities
The FP will combine public and private investment to underpin construction (developer) and purchase (homeowner/resident) functions of developments, using very long term investment funds to:
- Enable marginal sites which are mostly but not exclusively in public ownership to come forward with differentiated housing types and tenures
- Exploit newly funded infrastructure to generate income streams to reinvest into the communities
- Solely uses off-site / modern construction methods to drive speed, quality and local economic value
- Facilitate the parcelling of larger sites and the use of SME developers
- Link infrastructure, homeownership finance, site ownership and management in creative ways to drive down operational running costs for residents and create community benefit
How will the funding be used
The funding sought from SSF will support a research, development and financial planning exercise that will be used to accelerate housing delivery and which can be used by SELEP and all 35 SELEP Local authorities.
Sector Support Fund
The Sector Support Fund (SSF) is a £500,000 per year pot to support one-off, discrete pieces of work of a pan-LEP nature with a sector focus that brings demonstrable benefit and has support across the LEP.
It uses Growing Places Fund (GPF) Revenue grant to fund a programme of works to support the sector focussed activities that are being undertaken on a pan-LEP basis and predominantly led by the SELEP working groups. When the Growing Places Fund (GPF) grant was originally awarded, a proportion of the fund was earmarked as revenue which is being used for the Sector Support Fund.
- Sector Support Fund - Approved SSF projects
Future Proof SSF Decision report