New Homes Bonus – Parliamentary Written Answer

Alison Seabeck: To ask the Secretary of State for Communities and Local Government whether financial receipts from the New Homes Bonus are required to be spent in the local area of the development to which they relate.
Grant Shapps: The New Homes Bonus is not ring-fenced. The first £200 million was allocated to local authorities in April and authorities will be looking at how best to spend this funding to meet local needs. The priorities of local communities and barriers to growth are different across the country and the Government will not dictate where the Bonus should be spent. However, local authorities and local councillors need to consider carefully how to respond to local wishes and ensure that the benefits of growth are transparent in the communities where growth takes place—for example, improving play areas, transport improvements or town centre regeneration.