British Business Bank agrees £350m transaction with Close Brothers to support SME housebuilders
The British Business Bank has agreed an ENABLE Build transaction of up to £350m with Close Brothers to support small and medium-sized housebuilders across the UK.
Over the lifetime of the guarantee, the transaction is expected to unlock more than £700m of development finance.
The ENABLE Build programme is delivered by the British Business Bank on behalf of the secretary of state for housing, communities and local government and is designed to unlock bank capital or more efficient non-bank funding to encourage additional lending to smaller housebuilders in the UK.
Michael Strevens, managing director, structured financial institutions, at British Business Bank said: “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.”
Rachel Reeves, chancellor of the exchequer, added: “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 £700m 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. 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, said: “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.
“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.”
