The Homes and Communities Agency (HCA) has taken over the management of the Thames Gateway and responsibility for the government’s massive development budget.
It will have a budget of £17.4 billion over the coming three years and take on more of a central government function.
“The HCA will be crucial in delivering the new homes and regeneration projects we have pledged,” said housing minister, Margaret Beckett.
Its chief executive, Bob Kerslake has outlined plans to help the UK’s construction industry.
Industry publication Building reported he said: “We’re going to work with the builders to see if we can take equity stakes in private developments, or possibly buy development land from them, in a bid to get the market moving.”
Mr Kerslake explained that the agency would continue delivery from the previous bodies, integrate their funding, ensure councils have a single point of contact to progress development and tackle the effect of the credit crunch.
Within the Thames Gateway developers are building vast residential estates, supported by commercial property to help provide now low-cost housing for London.