A £77 million contract which will see 350 affordable homes built in West Wiltshire has been given Government approval.

The Private Finance Initiative (PFI) project will bring together Persimmon Homes and its sister company Westbury Partnerships with Wiltshire Council to deliver a mix of new homes in the county. The bid sees land provided by the council and Persimmon Homes. Westbury Partnerships, working with Sarsen Housing Association, will build the first 240 homes, with construction starting this month.

These homes will be built in Trowbridge, Warminster, Westbury, Melksham and Hilperton, with the first properties ready to move into during the summer. Plans to build a further 100 homes will also progress following the backing.

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The housing PFI allows local authorities to work with private sector partners to build, improve and manage housing. It is administered in England by the Homes and Communities Agency (HCA), which has been working with the council in support of its bid. This scheme is one of 13 that the Government signalled continued support for, subject to a value for money review, in November 2011.

Steve Roche, Managing Director, Westbury Partnerships Wessex, said: "This joint venture will deliver more homes into the communities where they are most needed. The contract is an excellent example of cooperative working between the public and private sector and we look forward to welcoming the first new residents in the summer."

HCA Head of Area Peter Jones added: "This is good news for people in Wiltshire who are looking to access high quality, affordable homes. Partners have worked hard to get this initiative into place and people will now begin to see the benefits of the investment when homes start to be delivered. I am really pleased that progress will be made on this project."

(CD/GK)