THFC allocates £345m European loan
Housing associations across the UK are to share £345 million of European funding for regeneration, in the largest ever deal of its kind.
Not-for-profit lending company The Housing Finance Corporation has finalised the details of the European Investment Bank loan, which was first announced in September.
Senior housing ministers for England, Scotland, Northern Ireland and Wales were at a meeting of the British Irish Council in Newcastle, County Down, for the signing of the deal for 35 housing associations.
Eleven organisations in England will get £150.25 million and £94.75 million has been allocated to 11 Welsh associations.
Eight Scottish housing associations will have access to £70 million and five housing associations in Northern Ireland will be able to borrow £30 million (see table, below, for full details).
Piers Williamson, chief executive of THFC, said: ‘The profile of these housing associations is right across the size spectrum.
‘The common theme is that we have been able to bring the considerable benefit of EIB funding to some of the most important community regeneration projects going on across the UK at the moment.
‘This will give these housing associations certainty to deliver in areas of real housing need.’
He said although lenders were coming back to the market – after ‘drawing in their horns and lending less for more’ – EIB funding was still the ‘best thing you can take’ because it was much cheaper.
Wales had been expected to get just under £75 million, but the final figure went up by £20 million.
Community Housing Cymru chief executive Nick Bennett said: ‘For a small nation with around 5 per cent of the population, it’s great news that we’ve secured almost 30 per cent of the total UK’s allocation.
‘This additional money will ensure we build even more affordable homes and communities for the people of Wales at a time of great need.’
Scottish housing minister Alex Neil said: ‘The facility was expected to be 50 million pounds and I am delighted to announce that the final figure is £70 million, a testament to the quality of proposals put forward by Scottish associations.’
The Scottish Federation of Housing Associations deputy chief executive Andrew Field added: ‘While housing associations are a very safe bet for lenders, associations have not been immune to the impact of the credit crunch. Our members tell us that private finance is more difficult to source and more expensive than it was before the recession.’
Funding allocations
| Housing association | Country/region | Funding (£m) |
| Helm | NI | 5.00 |
| Fold | NI | 8.00 |
| North & West | NI | 5.00 |
| Oaklee | NI | 5.00 |
| Trinity | NI | 7.00 |
| Dunedin Canmore HA | Scotland | 10.00 |
| Hanover (Scotland) HA | Scotland | 5.00 |
| Home Group | Scotland | 20.00 |
| North Glasgow | Scotland | 8.00 |
| Castle Rock (PfP) | Scotland | 5.50 |
| Prospect Community | Scotland | 6.50 |
| Sanctuary | Scotland | 10.00 |
| Thenew HA | Scotland | 5.00 |
| Cardiff Community | Wales | 7.50 |
| Clwyd Alyn | Wales | 5.00 |
| Coastal | Wales | 15.00 |
| CT Eryri | Wales | 2.00 |
| Hafod (Hendre Grp) | Wales | 10.00 |
| Melin Homes | Wales | 12.00 |
| Newydd (Cadarn group) | Wales | 5.00 |
| Charter Housing (Seren Grp) | Wales | 12.00 |
| Taff | Wales | 3.75 |
| United Welsh | Wales | 15.00 |
| Wales and West | Wales | 7.50 |
| Devon and Cornwall | Cornwall | 20.00 |
| Unnamed | South | 5.00 |
| Derwent | Midlands | 10.00 |
| Unnamed | London | 18.00 |
| Great Places | North | 18.00 |
| Manningham | North | 5.00 |
| Metropolitan HT | London | 18.00 |
| Midland Heart | Midlands | 15.00 |
| Network Housing Group | London | 19.25 |
| Newlon | London | 20.00 |
| Spitalfields | London | 2.00 |
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