By Daniel Hunter

The Mayor of London, Boris Johnson, has unveiled the first phase of a huge £100 million housing boost for working Londoners, supporting thousands of jobs in the capital’s construction industry.

It will see 27 organisations sharing £78 million to build 3,000 new homes across London supporting around 6,000 jobs in construction. The homes will offer flexible ownership options, including low-interest equity loans, ‘rent-to-save’ and ‘part-buy-part-rent.’ A further round of allocations, for the remaining funds, will be confirmed next month.

The £100 million fund will benefit around 10,000 Londoners during this mayoral term, with the first homes available in April. It forms part of the Mayor’s Housing Covenant, which sets out how he will stimulate housing supply and make the market work better for low and middle income earning Londoners, easing housing costs and helping people to find more affordable routes to home ownership. 

"Boosting construction and improving the housing options of hard-working Londoners is critical to this city’s economic success," the Mayor of London, Boris Johnson, said.

"There has been a fantastic level of interest in this new fund, which will help an additional 10,000 people make their way onto the property ladder on top of those already being helped through other programmes. There is still much more that must be done to continue to boost house building in London, and I will continue to push for a fairer funding deal which puts us in an even stronger position to meet the challenges that lie ahead."

News of the Mayor’s first funding allocations comes after he recently called upon the Coalition Government to allow London to retain all stamp duty receipts raised on its property sales, estimated to be worth £1.3 billion a year, to ensure it can build the one million homes that London will need by the mid 2030s.

The Mayor’s proposal would give the capital a more stable income stream to create a 25 year plan that will not just solve its housing needs, but create hundreds of thousands of long-term jobs and give a massive boost to its economy, benefiting the whole of the UK. It would also ensure that revenue generated from London’s buoyant housing market was used to address problems caused by unaffordable housing.

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