The UK government, through its housing and regeneration agency Homes England, has released a £21.8 million boost for the Council Housebuilding Support Fund. The revenue funding is aimed at helping local authorities develop the skills, internal capacity and external partnerships required to create housing plans.

Running until March 2029, the financial support will assist roughly 75 local authorities in submitting capital applications to the government’s £39 billion Social and Affordable Homes Programme. Bidding opened on 21 September and closes on 2 November, with successful applicants to be announced starting in December 2026. Further application windows are scheduled for April 2027 and April 2028.

Housing Secretary Angela Rayner said: “Councils will be at the heart of the biggest housebuilding revival in decades, but we know many lack the capacity and expertise to turn plans into reality. This funding will help councils build the skills, capacity and partnerships needed to make the most of our historic £39 billion investment. By putting councils back in the driving seat, we’re helping more families find a safe, secure place they can call home.”

Under the scheme, councils can request grants to cover additional staffing capacity, skills training, housing pipeline planning, partnership development, and pre-development work.

Shahi Islam, Director of Affordable Housing at Homes England, said: “The Council Housebuilding Support Fund is a strong example of how Homes England is enabling locally led housing delivery and helping councils unlock more affordable homes for their communities. We will continue to lead engagement with councils, manage the application process and make investment recommendations to the Ministry of Housing, Communities and Local Government (MHCLG), helping local authorities turn housing ambitions into deliverable projects funded by SAHP.”

The package forms part of the UK Ministry of Housing, Communities and Local Government’s wider £46 million Capacity to Build scheme unveiled in August 2026. It builds upon an initial funding round held in 2025 and sits alongside Local Government Association support services and the Pathways into Planning scheme, which aims to recruit 150 graduate planners by 2029.

In addition to revenue grants, local authorities can fund construction work through Right to Buy receipts, Housing Revenue Accounts, and discounted borrowing from the Public Works Loan Board. Regional delivery teams from Homes England will provide technical and strategic guidance throughout the process.