Can Social Housing Providers Benefit From TIF?

Deputy Prime Minister Nick Clegg announced at the Liberal Democrat party conference new measures to allow local authorities to raise finance to push forward regeneration schemes. Known as Tax Incremental Finance, or TIF, it will allow local authorities to borrow money to fund specific regeneration or infrastructure schemes, with the loan secured against anticipated increases in business rates. In simple terms, it enables a local authority to trade anticipated future tax income for a present benefit. TIF schemes offer real potential for social housing providers. Firstly, the money borrowed by local authorities is likely to be used to fund a mix of developments, including social housing. Providers will undoubtedly be able to bid for parts of these funds. More interestingly, social housing providers will themselves be able to propose schemes. Providers with funding will have the potential to unlock greater capital from local authorities through TIF schemes. Read more on 24dash.