PFI Press Release 13/05/05

Major housing boost for West Wiltshire

West Wiltshire District Council is celebrating success in its bid to win Government support to build 500 new homes for rent in the biggest single affordable housing project in the South West.

The scheme will be financed through the Private Finance Initiative (PFI) and will see £50 million worth of investment in affordable homes for rent in the district over a three-year period. The project is one of only nine bids approved by the Government in the latest round and is the only one approved in the South West. It is also the only one proposed by a district council, the others being unitary councils, London Boroughs or County Councils.

Councillor Michael Mounde, District Council housing portfolio holder, said: “This is great news for the people of West Wiltshire. For the past few years we have only been able to provide around 100 new affordable homes each year. A good working partnership between the public and private sector is the key to overcoming the housing problems of the district. This scheme will help us to deliver a significant number of the 380 affordable homes per year that our current housing needs survey says the district needs.”

The Council will be developing a draft contract to build around 500 brand new homes. Once both the Council and the Government are happy with this, then the project can go out to tender. It is anticipated that the homes will be managed by a housing association to standards that will be clearly defined by the Council.

It is envisaged that building work will commence in about 18 months time. All the new homes will be available to people from the Council’s register for thirty years. Thereafter, the Council will have the right to nominate people from the list for 75% of vacancies.

District Council Housing Services Manager Graham Hogg said: “This is an innovative way of providing affordable housing in that it does not require a grant from the Housing Corporation to make it possible. Many local authorities in the South West have, like us, have had to deal with the sudden ending of the Local Authority Social Housing Grant from the Government.”

The South West is second only to the Home Counties in the high house price tables and the scheme will help to ease the shortage of affordable homes in the region.

Development will be targeted at small ‘brownfield’ sites across the district, the villages and as part of the regeneration of Trowbridge town centre.