PRESS RELEASE : £80m to regenerate brownfield land and build thousands of homes [December 2023]

The press release issued by the Department for Levelling Up, Housing and Communities on 12 December 2023.

Third round of £180m Brownfield Land Release Fund 2 is now open to councils to deliver thousands of new homes and jobs.

Thousands of new homes will be delivered on council-owned brownfield sites through up to £80 million to transform neglected land into beautiful and thriving communities.

From today, councils across England will be able to bid for a share of the final round of the Brownfield Land Release Fund 2.

The latest round will release land for over 8,000 new homes by March 2028 – creating thousands of construction jobs and transforming underused sites into places where people want to live and work, while protecting cherished green spaces.

Minister for Housing Lee Rowley said:

“We want to build the new homes people need and brownfield land is crucial to delivering the Long-Term Plan for Housing, as part our of mission to level up the country.

“This fund will transform unloved and unused brownfield sites into thriving new communities, helping more young families on to the property ladder and creating thousands of jobs.

“This is a game changer for councils and I strongly encourage them to apply and reap the benefits in their local areas.”

The fund is part of the government’s long-term plan for housing which prioritises brownfield land for new homes and has us on track to deliver our manifesto commitment of 1 million homes over this Parliament.

This is part of the £10 billion we have announced over this Parliament to invest in projects that will boost housing supply.

Cabinet Officer Minister Alex Burghart said:

“This funding will help unlock much-needed redevelopment of unloved, previously derelict brownfield sites: stimulating growth, investment, and job opportunities.

“It’s fantastic news for business, and even better news for local people who will now see new family homes in their communities.”

Chair of the Local Government Association Shaun Davies said:

“Following the success of the first two rounds of BLRF2 funding, I am pleased the LGA continues its partnership with DLUHC and Cabinet Office helping councils to access the latest round of this fund, which provides much needed capital grants to bring surplus council-owned sites forward for housing.

“The One Public Estate programme has helped to shape this latest funding offer to ensure it can help as many councils as possible bring forward viable housing schemes on their land. I would urge councils to consider how this third round of BLRF2 can help them address local housing needs, and support placemaking and regeneration ambitions.”

The £180m Brownfield Land Release Fund 2 was launched in July 2022 and is designed to help to bring neglected urban areas back into use, support regeneration projects and boost local economies.

The previous round of funding has supported projects in areas including Bognor Regis, Rochdale and Somerset, helping to unlock new homes, as well as supported accommodation for homeless people.

The full brownfield fund is due to deliver over 17,600 new homes and 56,000 skilled new jobs over the next four years, helping to level up communities across the country.

There have been two rounds of funding allocations already announced in November 2022 and October 2023 and to date, the fund is supporting 89 local authorities, over 160 projects, and has provided over £100 million to support councils to release land for almost 8,600 homes.

A brownfield-first approach is at the heart of the government’s planning reforms through the Levelling Up and Regeneration Act, which is now law.

Further information:

• The final round of Brownfield Land Release Fund 2 funding is being made available to local authorities across England who will be able to bid for a share of up to £80 million. The application window will be open until 14th February 2024 with successful projects expected to be announced in Summer 2024.
• The funding awarded to local authorities is used for land remediation and small-scale infrastructure work to make surplus local authority owned brownfield sites ready for housing that would otherwise remain derelict and a blight on local communities.
• The Brownfield Land Release Fund 2 continues to be delivered by One Public Estate – a partnership between the Office for Government Property and the Local Government Association – on behalf of the Department for Levelling Up, Housing and Communities.
• Find out more about BLRF2 and how to apply here.

Case studies of recipients of BLRF2 funding:

• Bognor Regis (Arun District Council) – £628,000 will unlock an £8 million scheme to rejuvenate a listed town centre building, delivering 35 new homes and improved retail space to support local regeneration.
• Rochdale – c.£271,000 funding will unlock delivery of 14 purpose-built homeless and support accommodation units on a former car park and garage site.
• Somerset - c.£213,000 to demolish existing rundown garages and deliver 11 low-carbon one, two and three bedroom affordable homes subject to securing planning permission.