Affordable Housing: The only winner in the spending review?

Hidden amongst all of the doom and gloom of the spending review, which is due to set out billions of pounds of cuts in spending, is a glimmer of a silver lining.

George Osborne is set to announce "the biggest affordable house-building programme since the 1970s".

The details will be released later today, but from what has been announced so far the focus appears to be on tenures that will eventually lead to home ownership - such as starter homes and shared ownership initiatives.

Financial help is also promised for specialist homes for the elderly and those with care needs. Although welcome, this funding will only be a drop in the ocean given the proposed reductions in the social care budget - which is often used by local authorities to fund residential care places and home visits.

We also wait to see if extra funding will be found for construction apprenticeships. Given the severity of the current skills shortage, this could be crucial if we are to reach the level of house-building that the government is targeting

The Treasury said the chancellor would unveil "the biggest affordable housebuilding programme since the 1970s".

It will include:

£2.3bn paid directly to developers to build so-called "starter homes", aimed at first-time buyers, who will get a 20% discount on prices up to £450,000 in London and £250,000 elsewhere

£4bn to help build 135,000 "Help to Buy: Shared Ownership" homes for households earning less than £80,000 (or £90,000 in London)

£200m for 10,000 new homes that tenants can live in for five years at reduced rents while they save for a deposit. They will then have "first right" to buy the home

£400m to help build 8,000 specialist homes for older people or those with disabilities
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