Drive to build more homes to end crisis

Chancellor of the Exchequer George Osborne leaves the Treasury in London for the House of Commons, w

Chancellor of the Exchequer George Osborne leaves the Treasury in London for the House of Commons, where Osborne will deliver his Autumn Statement. PRESS ASSOCIATION Photo. Picture date: Wednesday December 3, 2014. See PA story BUDGET Main. Photo credit should read: Hannah McKay/PA Wire - Credit: PA

Chancellor George Osborne will declare a crisis in home ownership as he unveils a raft of measures he claims will see 400,000 new homes built across England.

In what he says will be the biggest affordable house building programme since 1979, he says there will be 200,000 new starter homes for first-time buyers who are aged under 40 at a 20pc discount, amid new planning rules and direct funding to developers to regenerate brownfield land.

The move will be announced in the spending review which will be unveiled today.

There will also be 135,000 new shared ownership homes allowing people to buy a share of a home, building up the amount they own over time.

The Treasury will provide £4bn to help housing associations, local authorities or the private sector to deliver the homes by 2021.

Mr Osborne will say: 'In this Spending Review, we choose housing. Above all, we choose homes that people can buy.'

He will also pledge to create 10,000 homes that will allow a tenant to save for a deposit while they rent. There will also be 8,000 specialist homes for older people or those with disabilities, with £400m made available to help housing associations and the private sector.