Key workers to gain from cheaper houses

08 April 2004
Low cost housing is set to spring up in London and the South East thanks to the sale of NHS land.

The deputy prime minister, John Prescott, and health secretary John Reid yesterday announced the scheme. The houses will be for key-workers and will be constructed on former hospital sites.

A total of 4,000 acres of NHS surplus land has been sold off in a reported £500 million deal.

A large number of the low-cost homes will be earmarked for workers such as policemen, nurses and teachers, with around 16,000 also eligible for housing loans of up to £50,000 over the next two years.

The land will be sold to developers with a strict remit to build low-cost houses and flats. Any money raised will then be channelled straight back into the NHS.

The whole scheme is part of Mr Prescott's Sustainable Communities Plan, which aims to regenerate towns and cities by using derelict or unused land.