The UK government has unveiled a £165 million initiative aimed at breaking long-standing barriers to housing development, with thousands of new homes and jobs expected to follow.
The newly announced Growth and Housing Accelerator Fund is designed to unlock stalled housing sites across England by addressing one of the most persistent obstacles to development: inadequate infrastructure. Many projects have remained dormant for years due to a lack of funding for essential transport links. This fund seeks to change that.
Set to launch in the coming weeks, the scheme will prioritise developments located near motorways and major A-roads, ensuring that new communities are supported by reliable transport connections from the outset. By bridging funding gaps for road improvements and access routes, the government hopes to accelerate construction and stimulate local economies.
The initiative forms part of the broader Road Investment Strategy 3 (RIS3), a £27 billion programme covering the period from 2026 to 2031. While RIS3 includes maintaining and upgrading existing road networks, it also places a strong emphasis on enabling economic growth—particularly by supporting housing and employment developments.
Transport Secretary Heidi Alexander highlighted the urgency of the move, noting that many promising projects have been held back simply because the necessary infrastructure was never put in place. She described the fund as a clear signal of the government’s commitment to removing barriers and delivering tangible growth.
Housing Secretary Steve Reed echoed this sentiment, stressing the importance of accessible, well-connected homes. He said the government is working at pace to ensure construction begins sooner, helping more people find affordable housing close to work and community amenities.
The delivery of the programme will be coordinated by National Highways, which will soon invite local authorities to submit proposals for eligible developments. A rolling list of funded projects is expected to be published starting from the 2026/27 financial year.
Beyond housing, the wider RIS3 strategy includes a major £8.4 billion investment to repair and resurface more than 9,000 kilometres of motorways and key A-roads. This is particularly significant given that around two-thirds of the road network’s structures are over 45 years old, with many nearing the end of their lifespan.
Officials estimate that the overall road investment strategy will support approximately 50,000 jobs over the next five years, reinforcing the government’s ambition to combine infrastructure renewal with economic expansion.
Additional context: UK government housing policy
This fund sits within a broader push by the UK government to tackle the country’s ongoing housing shortage. A central pledge is the delivery of 1.5 million new homes during the current Parliament, a target aimed at improving affordability and availability.
Key elements of current housing policy include:
- Planning Reform: Efforts to streamline the planning system, making it easier and faster for developers to secure approvals.
- Brownfield Development: Prioritising the use of previously developed land to limit urban sprawl and protect green spaces.
- Affordable Housing Targets: Increasing requirements for affordable and social housing within new developments.
- Infrastructure-Led Growth: Aligning housing expansion with transport and public infrastructure investment—precisely the gap this new fund addresses.
- Partnership with Local Authorities: Encouraging councils to play a more active role in identifying and delivering housing sites.