16.12.2011
The government is putting £30 million into encouraging people to build their own homes to drive the development of 100,000 homes over the next decade.
The investment, which was announced in the Laying the foundations housing strategy, will provide short-term finance to the self-build sector and will have to be repaid.
Ministers believe there is 'huge untapped potential' for self build in the UK. The strategy notes 13,800 self build homes were completed in 2010/11, accounting for only one in ten houses built. In many European countries more than 50 per cent of homes are self built.
The government has identified the main barriers to self build as lack of land, limited finance and mortgage products, restrictive regulation, and lack of impartial information.
In addition to committing the £30 million of funding it is asking council to establish the demand for self-build housing in their area, making efforts to allow builders to access public land being released by the government – including through its build now pay later model, and appointing a 'custom homes champion' to encourage self building.
Click here for the full Laying the Foundations document.