The package is valued at £165m and sees contributions from HSBC and NatWest to support Allison Homes to build houses across the Midlands and Southwest
The Homes England financing package will allow Allison Homes to boost their housebuilding operations through accelerating land acquisition and development time.
HSBC and NatWest have been partnered with Allison Homes for some time, and now Homes England are lending their support as well.
The money will come from the Home Building Fund
The objective of this package is to strengthen the land pipeline for Allison Homes, supporting the growth of their operations in the South West and the East Midlands, boosting their delivery from 700 homes per year to potentially up to 2,000 homes.
Allison Homes has a strong land acquisition strategy in place, and has recently opened offices in Bristol and the East Midlands. Recently, they acquired their largest site yet with a 510 home development in Bristol.
Simon Century, chief investment officer at Homes England, said: “Small and medium housebuilders play a vital role in building a diverse and resilient housing sector. Funding from Homes England will enable Allison Homes to expand its regional delivery, supporting the construction of more high quality, affordable homes.
“This financing deal is a prime example of how the Agency works collaboratively with both public and private partners to achieve our mission of building thriving communities that people can be proud to call home.”
Ian Trinder, chief financial officer of Allison Homes, said: “This is a very exciting moment for our business as it shows real confidence from strong funding partners in our long-term growth plans. Regional homebuilders, like Allison Homes, play a crucial role in delivering the housing needed to meet local and national demand, while also investing in infrastructure, creating jobs and supporting the local economy.
“Importantly, this financial package means we can continue our ambitious growth trajectory, whilst focusing on what matters most – building high-quality homes, creating places people are proud to live in, and being the homebuilder that people can trust.
“Over the past year, we’ve taken decisive steps to strengthen the business for the long term – investing heavily in land, regional growth, operational infrastructure, systems and our people. We’ve also grown unit sales from 626 to 808 and revenue from £154m to £202m, with a significant focus on recurring partnership revenue alongside open market sales.
“Delivering this during a challenging economic period has been no small task, and we’re incredibly proud of what we’ve achieved to date. The country continues to face a significant housing shortfall, and our sector has an important responsibility to help address it.”
Homes England are continuing their growth policy
Homes England have started the new year strong by appointing John Reid to head their new National Hub for Regeneration. He will fill this role as the executive director for technical capacity and coordination.
The agency intends to use this new hub to boost their development process and housing delivery.
Reid said: “I ‘m delighted to be joining Homes England’s Executive Team at such an exciting moment for the organisation. I look forward to bringing my public-private sector and major programme experience to help shape the new operating model and to drive the partnerships and places that communities across the country want and deserve.”
Furthermore, at the end of last year, the agency published their new strategy 2025-2030, which is designed to boost collaborations and creation of new sustainable homes.
The new plan has six strategic objectives:
- Significantly increase new housing supply and accelerate housing delivery across all tenures.
- Deliver the biggest increase in social and affordable homes in a generation.
- Unlock new institutional investment for housing and mixed-use schemes and deliver financial returns.
- Collaborate with partners and local leaders to enable development and regeneration that boosts local economic growth.
- Foster innovation and create market conditions to support a dynamic, diverse, and sustainable built environment and housing sector.
- Ensure homes are safe, secure and decent, and residents are safeguarded.
