The British Business Bank (BBB), acting on behalf of the Ministry of Housing, Communities and Local Government (MHCLG), has finalised a transaction valued at up to £350 million with Close Brothers under the ENABLE Build programme.

This arrangement is designed to support a portfolio within Close Brothers Property Finance, specifically focusing on residential development finance facilities for small and medium-sized (SME) housebuilders throughout the UK.

Over its full lifespan, the guarantee is projected to support lending in excess of £700 million, which will fund the creation of new homes across the nation.

Close Brothers Property Finance, a key and long-established participant in the SME housebuilder sector, is currently backing the construction of more than 7,000 new homes across the UK. This latest transaction is set to substantially increase the bank's lending capacity, accelerating housing supply, boosting economic growth, and strengthening local communities.

The ENABLE Build programme, delivered by the British Business Bank on behalf of the Secretary of State for Housing, Communities and Local Government, is structured to unlock bank capital or more efficient non-bank funding. Its core purpose is to encourage additional lending to smaller housebuilders in the UK, thereby supporting the government's ambitions to increase home construction across the country.

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The programme is open to a wide range of lenders incorporated in the UK, including banks, UK branches of foreign banks, asset and asset-based finance providers, and other relevant lenders who provide, or plan to provide, development finance to viable smaller housebuilders operating in the UK. This represents the second ENABLE transaction with Close Brothers Group Plc, following a previous ENABLE Guarantee transaction with Close Brothers Asset Finance in August 2025.

Commenting on the agreement, Michael Strevens, Managing Director, Structured Financial Institutions at British Business Bank, stated: "Following the success of our previous ENABLE Guarantee transaction with Close Brothers, we're pleased to be building our partnership through this ENABLE Build transaction. Close Brothers Property Finance has been a key supporter of smaller housebuilders for over 50 years, and this support will enable even more SME developers to deliver the homes our communities need."

Chancellor of the Exchequer, Rachel Reeves, also welcomed the news, saying: "This agreement between the British Business Bank and Close Brothers marks a significant step in boosting housing supply and supporting housebuilders across the UK. By unlocking up to £700 million of finance, housebuilders will have the backing they need to deliver thousands of new homes. It's a clear example of how we can boost growth, create jobs, and build thriving neighbourhoods."

The Chancellor added: "We are committed to get Britain building again, with a target of building 1.5 million homes over the course of parliament. And this partnership shows how we are turning that ambition into action."

Phil Hooper, CEO of Close Brothers Property Finance, expressed his satisfaction, noting: "We are delighted to deepen our partnership with the British Business Bank through this ENABLE Build transaction. For over 50 years, Close Brothers Property Finance has been committed to supporting SME housebuilders, the backbone of housing delivery in the UK."

He concluded: "This agreement significantly enhances our ability to provide the funding these developers need to bring forward much-needed homes, strengthen local communities, and drive economic growth. We are proud to play our part in unlocking housing supply and helping to deliver on the government's ambition to build more homes across the country."

Close Brothers is also a delivery partner for several other British Business Bank schemes, including the ENABLE Guarantees programme, the Growth Guarantee Scheme, and previous schemes such as the Recovery Loan Scheme (RLS), the Coronavirus Business Interruption Loan Scheme (CBILS), the Bounce Back Loan Scheme (BBLS), and the Coronavirus Large Business Interruption Loan Scheme (CLBILS).