Partnership unlocks funding for 115 new homes

A County Durham housing collaboration is moving stalled developments forward after securing Government funding to deliver much-needed affordable homes across the region.

A partnership between believe housing and Karbon Homes has unlocked funding to enable the delivery of 115 new social and affordable homes across five sites in County Durham. 

Together, the developments represent a £28.5 million investment aimed at addressing high demand for affordable housing in the area.

Bosses say the partnership has brought forward schemes that were previously paused, helping to accelerate delivery while supporting wider regional ambitions around inclusive growth, housing supply and long-term community wellbeing.

Faye Gordon, executive director of finance and investment at believe housing, said: “Diligent work and ambitious thinking, underpinned by a shared commitment to meeting local housing needs, has enabled this partnership with Karbon; unlocking vital funding at a critical time and allowing us to move forward with construction.

“As a not-for-profit landlord, grant funding is essential to help us deliver new social and affordable homes that enhance communities and improve outcomes for residents.

“Investment in affordable housing isn’t just about building homes; it supports local jobs, strengthens the economy, and helps create healthier, more connected communities. 

“Every pound spent delivers lasting value.”

Sarah Robson, executive director of development and asset management at Karbon Homes, added: “There’s a significant need for more affordable housing in Durham, and as housing associations working in partnership, we can boost the number of new homes we can deliver in the region, to help meet the growing demand.

“These schemes from believe housing are fantastic examples of building to meet the needs of the local community with a mix of rent and affordable home ownership options.

“Believe housing was able to take advantage of the grant funding available to Karbon at a time when wider grant funding was not quickly available.

“As partners we’ve managed our development pipelines to ensure construction can quickly move forward and I look forward to seeing these new homes progress over the coming months.”

The homes will be owned and managed by believe housing, with delivery supported by Homes England funding accessed through Karbon Homes’ strategic partnership with the Government’s housing delivery agency. 

That arrangement has enabled believe housing to secure £10.8 million in funding that was previously unavailable under the Affordable Homes Programme.

Construction is now underway on two major schemes in Stanhope and Easington, where believe housing is working with affordable homes developer Adderstone Living to deliver a combined 88 homes. 

The organisation is also purchasing homes across three additional sites currently under construction in Consett, Crook and Wolsingham.

Most of the new homes will be available for social rent, the most affordable and in-demand tenure, with the remainder offered through rent to buy and shared ownership options. 

Kate Abson, director of assets and development at believe housing, added: “This is a great example of what can be achieved when organisations work together to find solutions.

“These developments were ready to go, and by collaborating, we’ve been able to secure the funding needed to move forward and deliver high-quality, affordable homes for these communities.

“It means we can provide more of the right homes, in the right places, to help meet people’s needs and ambitions; not just now, but for the future too.”

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