What Is The Social Housing Decarbonisation Fund?

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What Is The Social Housing Decarbonisation Fund

What is the social housing Decarbonisation Fund Leeds?

Community Renewal Fund and Social Housing Decarbonisation Fund Using the PAS 2035 framework, social housing will be surveyed and a design created for each home to enhance energy efficiency, reduce energy consumption and reduce carbon emissions. Through the Social Housing Decarbonisation und (SHDF) Wave 1, up to 1000 homes in the Leeds City Region will benefit from energy efficiency measures such as insulation, new doors and windows and some will receive new renewable energy systems.

  1. The work will be completed through a partnership between the West Yorkshire Combined Authority and 10 Social Housing partners who will invest an additional £5m into the scheme.
  2. The SHDF programme was established by the Department for Business, Energy and Industrial Strategy, now the Energy Security and Net Zero Department The partners are: Accent, Chartford, Connect, Incommunities, Kirklees Council, Manningham, Stonewater, Together, Wakefield District Housing and Yorkshire Housing.

Over a period of 11 months from January 2021 to November 2021, the CRF Retrofit Project, delivered in partnership with Manningham Housing Association (MHA), engaged with least 100 residents/householders in Manningham and Toller Ward Bradford, West Yorkshire to understand how much energy each house uses, and how easy/hard it is to keep homes warm and comfortable.

  • Residents were provided with a free retrofit survey, which resulted in a whole house retrofit plan being developed for each property, which detailed what improvements residents can make to improve the thermal performance of their properties and reduce their fuel bills.
  • Residents were also provided with advice on the immediate everyday changes they can make to help make their homes warmer.

This was delivered by EEC Energy Efficiency Consultants (Ltd). The Retrofit Hub scheme created an which provides information and guidance to young learners on the climate emergency target, and what jobs there are in the Green Economy to encourage young people to consider taking up roles in the construction, energy and retrofit industry The scheme also provided free training to provide adult learners with the skills needed to work in the green sector which includes jobs in retrofitting buildings, sustainability, energy efficiency and much more ‘The UK Community Renewal Fund is a UK Government programme for 2021/22. What Is The Social Housing Decarbonisation Fund

Project Lead West Yorkshire Combined Authority
District / Area Leeds City region
Business case summary Link
Funding Community Renewal Fund (£0.47m) and Social Housing Decarbonisation Fund (£5.06m)
Project Status SHDF : Activity 6: Delivery CRF: Activity 7 Review and Closure
Start and end dates CRF: January to November 2022 SHDF: April 2022 to March 2023- extended to September 2023
Delivery partners Accent, Chartford, Connect, Incommunities, Kirklees Council, Manningham Housing Association, Stonewater, Together, Wakefield District Housing and Yorkshire Housing.
Get in touch [email protected]

This page was last updated in Quarter 4 2022/23 What Is The Social Housing Decarbonisation Fund : Community Renewal Fund and Social Housing Decarbonisation Fund

How is social housing funded in the UK?

It can be rented from housing associations or councils at reduced rents, or it can be part-sold, part-rented as shared ownership. It exists to help people who can’t afford to rent or buy a home on the open market, and is usually built with the support of government funding.

Who owns social housing in the UK?

Golden Lane Estate (1955–1962), London Council houses at Hackenthorpe, South Yorkshire Public housing in the United Kingdom, also known as council housing or social housing, provided the majority of rented accommodation until 2011 when the number of households in private rental housing surpassed the number in social housing.

Dwellings built for public or social housing use are built by or for local authorities and known as council houses, Since the 1980s non-profit housing associations became more important and subsequently the term “social housing” became widely used, as technically council housing only refers to housing owned by a local authority, though the terms are largely used interchangeably.

Before 1865, housing for the poor was provided solely by the private sector. Council houses were then built on council estates, known as schemes in Scotland, where other amenities, like schools and shops, were often also provided. From the 1950s, blocks of flats and three-or-four-storey blocks of maisonettes were widely built, alongside large developments of terraced housing, while the 1960s and to some degree the 1970s saw construction of many high-rise tower blocks,

Flats and houses were also built in mixed estates. Council homes were built to supply uncrowded, well-built homes on secure tenancies at reasonable rents to primarily working-class people. Council housing in the mid-20th century included many large suburban council estates, featuring terraced and semi-detached houses, where other amenities like schools and shops were often also provided.

By the late 1970s, almost a third of UK households lived in social housing. Since 1979 council housing stock has been sold to private occupiers under the Right to Buy legislation, and new social housing has mainly been developed and managed by housing associations,

How much is social housing in the UK?

Social housing sector stock and rents statistics for 2021/22 show small net increase in social homes Today (25 October 2022) the Regulator of Social Housing published statistics about the social housing sector for both private and local authority registered providers, including stock ownership and rents as at 31 March 2022.

Returns from all registered providers of social housing show that the sector owns 4.4 million homes across England, with a net increase of over 31,000 social homes in the year. The number of Affordable Rent and low cost home ownership homes increased, while the number of social rent homes fell. General needs still makes up the majority of the social housing sector at 83% of all stock, with supported housing at 11% and low cost home ownership at 5%.

Private registered providers built and purchased more homes this year, as activity moved back towards pre-pandemic levels following the ending of Covid-19 restrictions. There has been an overall increase in their low cost rental stock since April 2021, with over 20,000 homes for Affordable Rent being added.

  • However, despite the addition of just over 3,000 homes for Affordable Rent, local authorities saw another decline in their overall low cost rental stock.
  • Both private and local authority providers increased their low cost home ownership stock, with over 18,000 more units owned across the sector in 2022 than in 2021.

As expected, rents increased in the year. The average increase in general needs (social rent) weekly net rents was 1.6%, in line with the limit set for 2021/22. The average weekly general needs (social rent) rent across England was £94.31, with variations across different regions of the country.

Rents were lowest in the North East (£78.89) and highest in London (£116.16). Will Perry, Director of Strategy at RSH, said: The data from the 2021/22 Statistical Data Return and Local Authority Data Return show the impact of Covid-19 restrictions ending, with greater levels of development and acquisition activity in the period.

There is a wealth of data in this year’s returns, which will be of use to anyone interested in social housing in England. It also underlines how good quality data is essential for providers making difficult decisions about future investment in the current economic climate.

What is the Social Housing Decarbonisation fund UK?

Key objectives of the SHDF – The SHDF will span ten years and be released in multiple waves. In this time, the overall aim is to upgrade social homes to an Energy Performance Certificate (EPC) rating of C. Currently, nearly 40% of properties fall below this, with fuel poverty posing a serious risk for residents when high fuel bills mean tough choices between eating or heating.

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deliver warm, energy-efficient homes reduce carbon emissions and fuel bills tackle fuel poverty support green jobs.

What is ESG in social housing?

Our commitment to ESG – At Sovereign, we know that our impact on the world is significant. We’re conscious of the need to build more genuinely affordable homes, as well as working hard to ensure that social purpose is built into everything that we do.

How many people are waiting for social housing in the UK?

5.1 How long is the waiting list for social housing? – There were 1.21 million households on local authority waiting lists on 31 March 2022, a 2% increase compared to 31 March 2021. Since its peak in 2012 the number of households on local authority waiting lists has fallen by 34%.

  1. Local authority waiting list size can be affected by other factors, including reviews by local authorities to remove households who no longer require housing.
  2. The frequency of reviews varies considerably and so the total number of households on waiting lists is likely to overstate the number of households who still require housing.

If a household is on a waiting list in more than one local authority, they will be counted twice in the national figure, which will also increase the over count. The Localism Act 2011 introduced changes allowing local authorities greater freedom over the way they manage their waiting lists, for example the introduction of a local connections test. 59% of households who were new to the social housing sector in 2021/22 were on the waiting list for less than a year in that local authority area before they got their letting.12% of households were on the waiting list for 5 years or more before getting a social letting in that area.

Who pays for affordable housing UK?

Who funds affordable housing? – There are two main sources: taxpayers and the housebuilding industry. The government allocates a Housing Grant to build affordable homes. The current four-year settlement is worth £4.5bn. This is a 60% reduction on the previous allocation. The grant works out on average at £20,000 per home or 14% of its cost, according to a recent London School of Economics report,

Who pays housing benefit UK?

If you’ve got a partner and only one of you has reached State Pension age – If you’re already getting Housing Benefit, you’ll keep getting it unless your circumstances change. The older partner can still make a new claim for Housing Benefit if both of the following apply:

they reached State Pension age before 15 May 2019 they’ve been claiming Pension Credit since before 15 May 2019

What is the problem with social housing in the UK?

What needs to change – In England we are calling on the Government to allocate an increased share of the funding for new housing provision specifically to the provision of more homes affordable to those on the lowest incomes, including those in low paid work.

  1. Read more about housing supply in England In Scotland we are calling on the Government to ensure that homeless people have access to secure, decent, affordable rented housing.
  2. Read more about housing supply in Scotland In Wales we are calling on the Government to continue to grow its investment in social rented housing to ensure that new homes built are affordable to those on the lowest incomes.

Read more about housing supply in Wales, Social housing provided by councils and housing associations for people in housing need is becoming increasingly scarce. The number of social rented homes in England fell by 120,000 between 2012 and 2016, taking the total number of social rented homes below 4 million.

  1. Another 120,000 social rented homes are likely to be lost from the social housing stock between 2016 and 2020.
  2. The reason for this fall is that not enough homes are being built to replace those being taken out of the social housing stock.
  3. This happens when homes are sold through Right to Buy or are moved into a higher rent bracket known as “affordable rent”.

The Government encourages social housing providers to put a proportion of homes into the higher rent bracket to raise money for building new “affordable rent” homes. Read more about our work on housing affordability, Response to the Public Accounts Committee “Housing – State of the Nation” Inquiry (Word) – February 2017 In 2015/16 only 23,100 new social homes were built in England.6550 new social rented homes were built by councils and housing associations.

  1. A further 16,550 were built for affordable rent.
  2. This compares with the construction of nearly 39,000 new social homes for rent in 2010/11.
  3. This was the last year when the Government funded the construction of social rented homes.
  4. See Affordable Housing Supply 2015-16 (Gov.uk),) The Government has recently announced an additional £2 billion to fund delivery of up to 25,000 social rent homes over five years.

This is welcome, however it will not make up for the decrease in provision of additional social rented homes since 2010/11. In England single homeless people are unlikely to have a priority for help from councils under the homelessness legislation, As the supply of social rented homes has decreased, single people have had less access to social housing.

  • This means single homeless people often have no choice but to look for housing in the private rented sector.
  • Read more about private renting,
  • The Government has chosen to spend more of the funding available for housing on low cost home ownership and “affordable” rented housing.
  • We believe that a greater share of the available funding should be spent on housing for those on the lowest incomes.

See more about our work on housing affordability, In Scotland there is not the same distinction between the rights of single people and homeless families. Single people in Scotland should be able to get help to find permanent accommodation through their local council.

  1. The Scottish Government is taking measures to address housing supply.
  2. For example they abolished the right to buy social homes in 2016 and they have set a target to deliver 35,000 additional social rented homes between 2016/17 and 2020/21.
  3. This is a good start, but we believe that greater action is needed to make sure homeless people have access to secure, decent and affordable rented housing.

The Welsh Government has taken some measures to address housing supply. £1.5 billion has been allocated to deliver 20,000 new affordable homes between 2016 and 2021. Sixty five per cent of these homes will be for social rent, equivalent to 2,600 homes a year.

  1. The Government has introduced legislation to abolish the right to buy to reverse the decline in the number of homes available for social rent.
  2. The Welsh Government has also commissioned an independent review to examine the changes needed to increase affordable housing supply in Wales, with a report due in April 2019.

We believe that further investment in social rented housing is needed to make sure homeless people have access to genuinely affordable rented housing. Read more about research into housing models and services in the knowledge hub,

Who are the biggest social landlords in the UK?

The biggest housing association in the UK is Clarion Housing. Clarion manages 125,000 dwellings, while the second-largest is L&Q, with 95,000. The Peabody Trust is the third-largest, with around 66,000 homes on its books.

What are the largest social housing companies in the UK?

Everyone deserves a good quality home – from young families to retired people or those struggling in the housing market. That’s why we’re here. Clarion Housing is the UK’s largest housing association, owning and managing 125,000 homes: 350,000 people call a Clarion home their home.

Homes are the platforms on which lives are built – and providing those homes is a role we take seriously. We’re committed to providing good, affordable homes for those that need it the most and a great service to all residents. Clarion Housing is part of Clarion Housing Group, which is made up of both commercial and not-for-profit subsidiaries.

The group undertakes a range of commercial activities in order to invest in our core social mission to provide homes for those who need them most.

Where is the most social housing in the UK?

Across the UK, Scotland had the highest proportion of homes in the social sector in 2018 (22% of homes).

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Is there a shortage of social housing in the UK?

Is there really a Housing Shortage in the UK? Do we really need to build 300,000 Homes a year – How Bad is the Housing Shortage? What Is The Social Housing Decarbonisation Fund When we talk about UK housing, we tend to think of an acute shortage. And it is not surprising given the fact house prices have reached nine times income, and we face a crisis of affordability. But, do we really need to build 300,000 homes a year like the government target? What Is The Social Housing Decarbonisation Fund In the last decade, the number of households in England and Wales rose 6% or 1.4 million, but the net number of dwellings in England alone rose by nearly 2 million. Ian Mulheirn of LSE claims in 2018, England had 1 million surplus housing. What Is The Social Housing Decarbonisation Fund () The truth is the UK population has risen slower than past estimates. Five years ago, England’s population was expected to be 57 million, but it turned out to be actually half a million less. In 2014, there was a forecast of 216,000 new households in England per year. What Is The Social Housing Decarbonisation Fund Also, it is not just about the amount of homes built, but net new dwellings. Last year England built 210,070 new homes, but gained over 28,000 from the conversion and change of use (e.g converting business premise to housing). What Is The Social Housing Decarbonisation Fund Home building rates have fallen since the post-war period, but it is not the only metric. The 1970s, was significantly higher rates of housebuilding, but there were also more demolitions. This means the net increase in dwellings was actually higher in 2020/21 than the average of the 1970s. What Is The Social Housing Decarbonisation Fund Social housing stock has been in steady decline, with former stock being sold off, demolished and not replaced. Shelter report there are 1.4 million fewer households in social housing than in 1980. And 1 million households are currently waiting for social housing. What Is The Social Housing Decarbonisation Fund Would increasing the supply of homes reduce house prices? One goal of increasing supply is that it would reduce house prices and make them more affordable. This is true to some extent, but less than what you might expect. Numerous studies show that for every 1% increase in supply, prices and rents may fall 1.5% This could mean if we build 300,000 homes a year, house prices may be 10% less over 20 years (an average of 0.5% reduction in house price inflation).

Inflated house prices are primarily due to the distortion of ultra-low interest rates, and wealth inequality. It could mean that the current rise in interest rates will be significant in reducing prices. The claim we don’t need 300,000 new homes is not settled wisdom. Firstly, we can’t just look at the past 10 or 20 years’ growth in households and supply, we also need to consider past backlogs and suppressed housing demand.

A 2019 study at Heriot Watt University claims there is a severe backlog which includes overcrowding, poor conditions, unsuitable people living together and young adults stuck with their parents. This study claimed we need to build 350,000 new homes a year.

  • It was based on the forecast of 216,000 new households, but also the demolition of unsuitable properties like Grenfell and additional suppressed household formation.
  • However, before we start digging up the green fields, there are other factors to consider.
  • In England, there are 640,000 empty homes.
  • More than a quarter of a million for more than six months.

The worst areas for empty homes are in central London, with investors speculating on rising prices. Nearly 1 in 3 homes in the City of London were classified as empty. Also tourist areas have been hit by the rise of Airbnb and 2 nd homes. Cornwall reports 18,000 empty homes and 16,000 on waiting list for council homes, and 10,000 homes registered for AirBNB. What Is The Social Housing Decarbonisation Fund What about immigration and the need to build housing? Immigration usually pops up in the comment section. I often see a stat that there were 10 million migrants in past 10 years. But, I don’t know where this comes from. In the past 10 years, net migration has averaged 250,000. What Is The Social Housing Decarbonisation Fund Last year, this surged to 500,000, though that was partly a rebound from the 2021 Covid effect. Leaving the EU has brought down EU migration, but so far has been replaced by rise in non-EU migration. Future migration levels are uncertain though with labour shortages and more people leaving the labour force, there will be economic pressures to maintain migration levels around current levels.

Future population levels are also uncertain, with many western countries experiencing bigger falls in birth rates and population than previously expected. So how many new houses does the UK need to build? Arbitrary national targets are slightly misleading as a lot of the worst shortages are located in certain areas.

But, more than anything – there is a need to build affordable social housing and housing for rent, something ignored in recent decades. Also, with a rapidly ageing population, we need to create more housing based on the needs of the elderly, which can free space for bigger young families.

– Commons Briefing

: Is there really a Housing Shortage in the UK?

What is the social grant in the UK?

The Social Fund is a Government scheme to help people with expenses that are difficult to meet on a low income. There are several different types of Social Fund benefits. These include:

Budgeting loans – these are only available for people on income support, income-based Jobseeker’s Allowance, income-related Employment and Support Allowance, or Pension Credit, If you are getting Universal Credit, you might be able to get a Universal Credit Budgeting Advance instead. If you are getting another benefit, you might be able to get a short term benefit advance instead. Cold Weather Payments Funeral Payments Sure Start Maternity Grant Winter Fuel Payments

For some, you can claim it as long as you meet the criteria, for others, payment is not guaranteed even if you are eligible to make a claim. With most, you have to be receiving certain other benefits to qualify.

Is there an investment case for social and affordable housing in the UK?

The UK continues to experience significant shortages of affordable housing and yet the role of private finance in contributing answers to this need has been under-examined. Currently around 70% of capital raised by Private Registered Providers to invest in social and affordable housing is from private (predominantly debt) financing sources, up from 30-40% in the 2000s.

This authoritative report analyses this investment, and investigates the merits or otherwise of including social and affordable housing assets within institutional investment portfolios. The report was launched at our event which took place virtually on Tuesday 12th October, 10:00-11:00 BST. The event was moderated by Jamie Broderick, Director and Lead Expert at the Impact Investing Institute and featured Nick Colley, Former Director at Property Funds Research who gave an overview of the research findings, followed by a panel discussion from the speakers below and audience questions.

Here are the key messages and action points mentioned during the discussion:

The supply of social housing has not kept pace with demand historically, and new demands on housing associations for safety remediation and decarbonisation will make the sector increasingly reliant on additional capital from the market, particularly equity capital. As this market grows, pension funds are increasingly turning their attention to the social housing sector as a source of index-linked income streams, alongside the more familiar sectors of infrastructure and commercial real estate. The entry of recognised asset managers into the sector, and the expansion of available options, are likely to increase pension fund confidence in the investment viability of the asset class. Collaborations between non-profit Registered Providers and for-profit asset managers are very promising, but need to be constructed with full alignment of values, a long-term perspective, and an appropriate allocation of benefit and risk between the parties. Social and affordable rents are not driven by market forces as much as by government rent-setting regimes and are typically less sensitive than commercial real estate to changes in the business cycle. The social rented sector in particular shows low and stable vacancy levels and high rent collection rates when compared with retail, office and industrial property assets. Debt and/or equity investment in social housing should increase the risk-adjusted return of both multi-asset and real estate portfolios along the efficient frontier, with the greatest impact evident for lower-risk portfolios. Strong credit fundamentals and low correlation with other real estate sectors and the broader economy support an argument that social and affordable housing provides resilient, stable and diversified cashflows and should become an increasing proportion of institutional investment portfolios. Social and affordable housing caters for housing need and has the potential to fulfil a key element of the ESG agenda for investors, notwithstanding the possibility of future reforms to regulation of the sector and benefits system. As direct equity investment into social and affordable housing grows, there is likely to be significant innovation in operating models, to ensure alignment of interests between operators, investors and tenants. Housing associations and asset managers are increasingly focused on explicit delivery of environmental, social and governance benefits, with a particular focus on the welfare of tenants.

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You can read the full report here and watch the event recording below.

What is the cost of living crisis fund UK?

If you’re struggling to afford essentials such as food, energy bills or housing, you may be eligible for a £500 payment through our Cost of Living Crisis Fund – one of the ways we are stepping in to support residents with the cost of living crisis.

What are the three areas of ESG?

What Does ESG Mean for a Business? – Adopting ESG principles means that corporate strategy focuses on the three pillars of the environment, social, and governance. This means taking measures to lower pollution, CO 2 output, and reduce waste. It also means having a diverse and inclusive workforce, at the entry-level and all the way up to the board of directors.

What do ESG funds look for?

What is an ESG fund? – ESG funds are investments that are graded using ESG (environmental, social and governance) principles. ESG funds invest in companies that aim to have a sustainable and societal impact in the world, such as those with a small carbon footprint or diverse leadership boards.

What is the difference between environmental and social ESG?

– ESG data includes more than just each company’s individual impact. It also includes partners, community impact, and companies in their supply chain. The types of ESG data that a business can disclose can be vast.

On the environmental side, it can range from greenhouse gas emissions to water and raw material usage or even waste management. Social ESG data can include statistics on company diversity, human rights, animal rights, and even information related to labor practices in the company’s supply chain. ESG disclosures around governance provide transparency into company leadership and operations. Investors are often looking for details on company values, employee relations, and corruption concerns as well as employee and executive compensation.

What is the Leeds City Council housing Growth Program?

1. Introduction – Our Vision is for Leeds housing market to meet the needs of all its residents, providing homes that are safe, warm and affordable, supporting positive life outcomes for everyone. Our ambition is to deliver 1,230 affordable homes per year to meet housing needs, promoting independence and creating sustainable communities to make Leeds the best place to live.

  • Housing growth has been a success in Leeds since the last economic downturn.
  • The Leeds Local Plan 2017-33 sets a requirement for 51,952 new homes to meet demand in the city and has a strong 5-year housing land supply.
  • The city regularly meets its annual overall housing need of 3,247 homes per annum and over the last 5 years 16,249 homes have been delivered in the city, which in 2020-21 delivery equated to 2.2% of England’s total housing supply.

The significant majority of this has been achieved on brownfield sites in the most sustainable locations. However, as a city we fall short of meeting our full identified needs for 1,230 new affordable homes per year. This position is not unique to Leeds with a lack of affordable housing widely documented across the country.

Over the last 5 years Leeds has delivered an average of 484 affordable homes per year, which meets in-year needs as well as delivering a higher proportion of the most affordable social rented homes compared to the national average. Consistent with our ambitions for Inclusive Growth and the knowledge that good quality, affordable housing is a key determinant of health and wellbeing, there is a need to do more to address the issues of aff ordable housing supply within the Leeds housing market.

This means ensuring homes are of the right size, type, (including bespoke and specialist) affordability (across different affordable tenures), and in the right places in line with the Local Plan. This, in turn, supports the achievement of genuinely mixed and inclusive communities and allows all our residents to benefit from growth and to prosper.

  1. Moreover, the provision of the right type and tenure of homes will play a critical role in supporting the city’s economic recovery from COVID-19.
  2. There is recognition that growing the supply of affordable housing in an economic climate where cost inflation is at its highest for 40 years will be challenging.

Yet these challenges and the soaring cost of living make affordable housing more important than ever for our residents. This Affordable Housing Growth Partnership Action Plan is the culmination of engagement with the Affordable Housing sector between October 2021 and March 2022 through a series of 1-to-1 discussions through our Affordable Housing Delivery Group, which is made up of Registered Provider (RP) partners on the Leeds Affordable Housing Framework.

  1. There has also been ongoing engagement with Homes England and West Yorkshire Combined Authority (WYCA) throughout this period, as well as discussions with developers that work closely with RP partners in the city and wider city region.
  2. This engagement is recognition that the challenge of affordable housing supply requires a multipartner approach, with the tools and responsibilities sitting with a range of organisations who can provide an aligned response in the city.

Collectively we can also do more to promote the relevant policy changes required, both locally and nationally. This document sets out our delivery ambition for the city alongside opportunities for a real step change in pace and scale of development to meet the housing needs of the residents of Leeds.

  • 22% are affordable tenure
  • 70% (54,122) are owned by Leeds City Council

3,247 – Annual Housing Delivery Target 3,250 – Annual Housing Delivery (over last 5 years) 1,230 – Affordability Housing Need P.A* 484 – Affordable Housing Delivery P.A *1,230 made up of 434 annual new need and 796 backlog need

What is the housing Infrastructure Fund for Homes England?

The Housing Infrastructure Fund is a government capital grant programme of up to £2.3 billion, for new physical infrastructure which will unlock sites in the areas of greatest housing demand and help to deliver up to 100,000 new homes in England.

Where is ChaCo in Leeds?

ChaCo is in an urban setting, based in Chapeltown, North of Leeds town centre.

What is the Towns fund UK?

What is the Towns Fund and how has the money been allocated? – The Towns Fund for England (hereafter the Towns Fund) is a £3.6 billion fund for ‘struggling’ towns across England to support local economic growth. The Towns Fund was announced in July 2019 and incorporated the £1.6 billion Stronger Towns Fund announced in March 2019. The Towns Fund has three separate funding strands:

  1. Funding for 101 towns invited by the Department for Levelling Up, Housing and Communities (DLUHC, formerly the Ministry of Housing, Communities and Local Government) to submit bids. These towns could submit bids for up to £25 million each, or up to £50 million in exceptional circumstances. The selected towns were not automatically eligible for funding but their proposals were to be evaluated by DLUHC. A full list of the funding allocated was published in July 2021, and the amount allocated came to £2.3 billion in total.
  2. A competitive allocation of funding for further towns that were not initially selected. DLUHC has committed to making this funding available in future but has not yet provided any details of how it will be allocated.
  3. The future high streets fund, £830 million for regenerating high streets across England in December 2020 and May 2021. The process of selection for this fund was separate from the towns deal process – any local area (including London boroughs) could bid, though DLUHC’s prospectus stated that bids should only be from areas ‘facing significant challenges’. In May 2021, DLUHC confirmed 57 of the 72 high streets that will win funding.16 of those 57 were also towns that were invited to bid for town deals.

This explainer focuses on the first strand of funding: the selection of towns and the allocation of money for Town Deals.