A new £2.5 billion joint venture (JV) has been revealed between housing association Your Housing Group (YHG) and renewable energy company WElink Group.

The partnership, which involves creating 25,000 low-carbon homes each year by 2022, has been welcomed by the Government as it will help support plans to build one million new homes by 2020.

The scheme will be delivered by China National Building Material Company (CNBM), who will develop modular pre-fabricated housing from Barcelona Housing Systems.

This method differs from other modular housing already in the sector as it will combine British precision produced steel frames and modern composite materials, resulting in homes that are both low carbon and energy efficient.

Stephen Haigh, UK Chief Executive Officer (CEO) of the new JV, said: "Through this joint venture we are leading the transformation of the housing market and are able to address the UK's housing need head-on, creating an innovative platform to enable the increase in supply of new homes.

-- Advertisement --

"Our announcement is very much about identifying new opportunities and assisting Government and other Housing Associations to achieve their housing aspirations as announced in the recent Autumn Statement, such as the £2.3bn infrastructure fund. It is also crucial that we work closely with Local Authorities to create mixed tenure communities to cement our development model as the solution to their house building and development needs."

International Trade Minister, Greg Hands MP, welcomed the announcement.

He said: "This is a clear endorsement of the UK's attractiveness as a place for inward investment. This announcement has the potential to benefit local communities across the country, creating jobs, boosting local economies and creating homes."

Ajmal Rahman, Chairman of WElink Group, added: "This joint venture will give a significant kick-start to delivering the new homes people need across the UK which includes helping to address fuel poverty issues through our incorporated solar and energy efficient design – meaning our developments can be at least 75% off-grid. Furthermore, British produced light gauge steel framing will help keep our carbon footprint to a minimum."

(LM)