Britain's new housing quango has relaxed strict rules governing building grants, to reinvigorate the stagnant affordable homes market. Sir Bob Kerslake, chief executive of the Homes and Communities Agency, said his officials would not necessarily enforce a current requirement that up to 40% of HCA grants to housing associations should be used to fund developments. During the economic downturn, the HCA, which includes the former Housing Corporation, will instead consider developments on a ‘case by case' basis, which would allow some associations to breach the 40% limit in order to start projects. A spokeswoman for the HCA, which has a £17bn budget, told The MJ: ‘During these tough times for the housing market, Sir Bob is keen to support developments as much as he can. ‘The current 40% limit has always been a convention – not a rule – and from now on, we will consider each proposal on its merits.'
