Stalled housing and employment sites to be unlocked with new £165 million road fund

Thousands of new homes and jobs are set to be unlocked as the Government launches a new £165 million fund to remove the barriers holding back housing and key growth developments across England.

The new Growth and Housing Accelerator Fund will target sites where progress has stalled due to funding constraints, delivering the transport improvements and links needed to get building started.

Launching in the coming weeks, it supports the Government’s plan to raise living standards and deliver 1.5 million new homes across England this Parliament.

The new fund forms part of Road Investment Strategy 3 (RIS3), the Government’s £27 billion for England’s motorways and major A-roads from 2026 to 2031.

Announced last week, it is designed not just to maintain and renew the existing network, but to ensure England’s roads actively support economic growth, removing the infrastructure barriers that have held back new homes, jobs and investment.

The new Growth and Housing Accelerator Fund will bridge the funding gap for critical transport works to unblock and accelerate the delivery of housing and employment sites.

It will focus on locations on or near to motorways and A-roads across England, ensuring communities can benefit from new homes and the jobs and opportunities that come with them.

Secretary of State Heidi Alexander said: “Too many housing and employment opportunities have stalled for years, held back by the infrastructure that wasn’t there to support them.

“This fund will pave the way for developments that have sat idle for too long, funding the transport links that stalled sites need to get moving and generating new jobs and opportunities for communities that deserve them.

“It is a deliberate choice – and a signal that this Government is serious about removing the barriers to growth.”

Housing Secretary Steve Reed said: “For many people, the dream of a decent home, close to work, and with good connections to their community, has been out of reach.

“This government is firing on all cylinders to get spades in the ground faster so we can build new homes, bolster our transport links and create jobs in the places most in need.

“This is exactly the kind of targeted, practical action that will help us reach 1.5 million new homes and create thriving communities where people can put down roots.”

National Highways will invite local authorities in the coming weeks to register developments for consideration and publish a rolling programme of funded schemes from the end of 2026/27.

The result will be new homes built, new employment sites and jobs created, and communities that have waited for development finally seeing it happen.

National Highways Executive Director Elliot Shaw said: “Reliable roads are crucial to housing developments. They shape where people want to live, where businesses want to invest, and where communities can thrive.

“This fund will help unlock the transport links needed for new homes and jobs and help the government achieve its ambitions on economic growth.”

At the heart of the Government’s RIS3 plan is a record £8.4 billion for renewing and resurfacing over 9,000 kilometres of motorway and major A-road lanes – tackling the backlog of ageing roads and worn surfaces that have built up over decades.

Around two thirds of structures on the network are now over 45 years old, and this unprecedented renewals investment will address critical bridges, viaducts and concrete road surfaces before they reach the end of their life.

The overall RIS3 investment is expected to support around 50,000 jobs across England over the five-year road period.