Bidding is now open for up to £240m of capital funding aiming to widen the housing options for older people and adults with disabilities, by delivering thousands of new affordable and market sale homes.

The Care and Support Specialised Housing Fund, launched today by Minister of Care Services Norman Lamb, marks the first time that the Homes and Communities Agency (HCA) - which will be administering the Fund - has run such a programme on behalf of the Department of Health.

The Fund is split into two phases, focusing on affordable housing in Phase One, and market sale homes in a later second phase and run over five years from 2013/14. It will be managed as a separate programme to the HCA's £1.8bn Affordable Homes Programme, and will build on the existing good practice identified by the HCA with the Department of Health and the Department for Communities and Local Government through the 2009 HAPPI Report.

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The Fund calls for innovation in developing housing opportunities, asking local authorities, and developers to work collaboratively with health providers to identify the best local solutions. This may well include using local authority land or existing health facilities to work with the fund to achieve the best value results can be achieved between, housing health, care and support.

Chief Executive of the HCA Pat Ritchie, welcoming the Fund, said: "The HCA is committed to creating opportunities for these groups in our communities, and we are pleased that the Department of Health has looked to the HCA to deliver such an important funding programme. This will enable us to apply the principles of linking good specialist housing design with health and quality of life while at the same time getting developers and Providers to develop new innovative ways of delivering good quality housing that addresses local need and demand.

"This Fund recognises the benefits which high quality housing opportunities for both older and disabled people can have in allowing them to remain independent for longer - raising their quality of life and helping reduce the burden on the health service. We are already delivering around 10% of our Affordable Homes Programme for supported housing and housing for older people, and the Fund is a good opportunity to build on this."

(CD)