A consultation of the London mayor’s plans for a new ‘housing bank’, which could provide £200 million of cheap loans to accelerate house building in the capital, has been launched today. The bank would offer funding to developers of large-scale schemes which already have planning consent but are stalled by funding issues. An estimated 3,000 homes could be built with the loans.
These homes would then be let to Londoners at sub-market levels for 10 years, before being sold on with the loan repaid to City Hall.