Speaking in the House of Commons, chancellor Philip Hammond said the government would “prioritise high-value investment on infrastructure and innovation”.
“One of the biggest objections to housing development … is often the impact on local infrastructure,” he added.
“So we will focus local infrastructure investment to unlock land for housing with a new £2.3bn Housing Infrastructure Fund to deliver infrastructure for up to 100,000 new homes in areas of high demand.”
Spending will be allocated to local authorities “on a competitive basis” to unlock new private house building.
The government will also look at how transport funding can support housing growth.