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Government proposes seven new towns in housebuilding push

Government proposes seven new towns in housebuilding push
Rosie Murray-West
Written By:
Posted:
March 23, 2026
Updated:
March 23, 2026

The government has revealed the location of seven new towns aimed at kickstarting the "most ambitious" housebuilding programme for 50 years.

The number is fewer than the original 12 locations named by the government, and housing secretary Steve Reed said six other locations had been looked at but will not be taken forward at this stage.

“We’re planning whole communities with homes, jobs, transport links, and green spaces designed together — so we can give families the security and opportunities they deserve,” he said, adding that each location would deliver at least 10,000 homes.

Chancellor Rachel Reeves said the government was delivering on a promise to “grasp the nettle” of housing reform.

“We’re planning to build a new generation of new towns, opening up the expansion of our most dynamic cities and raise up new communities.,” she said.

New towns on the map

The proposed locations for new towns are across the UK as follows:

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Tempsford, Bedfordshire — up to 40,000 homes built around a new East West Rail station.

Crews Hill and Chase Park, Enfield — up to 21,000 homes in the North of London.

Leeds South Bank, West Yorkshire — up to 20,000 homes

Manchester Victoria North, Greater Manchester — at least 15,000 homes with a new Metrolink stop.

Thamesmead, Greenwich — up to 15,000 homes on a Docklands Light Railway extension.

Brabazon and the West Innovation Arc, South Gloucestershire — up to 40,000 homes.

Milton Keynes, Buckinghamshire — expanding the original ‘new town’ by 40,000 homes.

The locations not taken forward are Adlington, Heyford Park, Marlcombe (East Devon), Plymouth, South Barking and Wychavon Town.

However, the government said that they are deemed to be “credible development opportunities” and may continue to be supported through existing housing programmes.

 

New national housing bank

As well as the new towns, the government announced the opening of a national housing bank (NHB). Previously announced in June, this bank is aimed at housing developers and investors, giving them the funding they need to make delivery happen.

Today, the government said it would be backed with “up to £16bn of financial capacity” and will aim to deliver over 500,000 new homes.  It will open on 1 April.

The bank will be chaired by Peter Vernon, former head of property giant Grosvenor, who is on the board of Homes England, the government’s house agency, and led by Simon Century, chief investment officer of Homes England.

“From day one, we’ll use deep expertise to back innovative, large-scale delivery — accelerating the supply of high quality affordable homes and thriving places people want to live,” Century said.

The government also appointed four new advisers to support the New Towns unit. They are Lyn Garner, former chief executive of the London Legacy Development Corporation; Ian Piper, former chief executive of the Ebbsfleet Development Corporation;  Emma Cariaga, chief operating officer of British Land and David Rudlin, founding principal of Rudlin & Co and principal author of the UK government’s National Model Design Code.