Referral of the proposed Greater Manchester Combined Authority (GMCA) Brownfield Housing scheme

The Subsidy Advice Unit (SAU) has published a report providing advice to Greater Manchester Combined Authority (GMCA) concerning its proposed GMCA Brownfield Housing Scheme.

From:
Competition and Markets Authority
Published
22 July 2024
Last updated
2 September 2024 — See all updates
Case type:
SAU referral
Case state:
Closed
Market sector:
Building and construction
Opened:
19 July 2024
Closed:
2 September 2024

Administrative timetable

Date Action
2 September 2024 SAU report published
2 August 2024 Deadline for receipt of any third-party submissions (submissions after 5pm on this date may not be taken into account)
19 July 2024 Beginning of reporting period

Final report

2 September 2024: The SAU has published its report providing advice to GMCA concerning the proposed GMCA Brownfield Housing Scheme. The report sets out the SAU’s evaluation of GMCA’s Assessment of Compliance of its proposed scheme with the requirements set out in the Subsidy Control Act 2022.

Request from GMCA

19 July 2024: The SAU has accepted a request for a report from GMCA concerning the proposed GMCA Brownfield Housing Scheme. This request relates to a Subsidy Scheme of Particular Interest.

The SAU will prepare a report, which will provide an evaluation of GMCA’s assessment of whether the scheme complies with the subsidy control requirements (Assessment of Compliance). The SAU will complete its report within 30 working days.

Information about the scheme provided by GMCA

The Greater Manchester Brownfield Housing subsidy scheme (the Scheme) will provide up to £500 million for subsidies towards the costs incurred in developing brownfield sites. The Scheme will come into effect from Summer 2024, ending in Summer 2029.

Funding for the Scheme will comprise of £135 million under the Brownfield Housing Fund, and £150 million under the Brownfield Infrastructure and Land Funding agreement from the Ministry of Housing, Communities and Local Government (MHCLG). The remaining balance is envisaged as coming from potential future funding allocations.

Individual awards being made under this Scheme will be limited to a maximum of the viability gap identified, and no awards will be made above £20 million by GMCA under this Scheme. This Scheme is considered a Subsidy Scheme of Particular Interest as the Scheme contemplates awarding individual subsidies that are in either individually in excess of £10 million or are in excess of £10 million when the cumulation rules with other public subsidies are applied.

Eligible costs include, but are not limited to, those associated with: site acquisition; demolition and site remediation; utilities and other infrastructure; and construction, in order to deliver:

  • new housing units; and/or
  • additional social / affordable housing units; and/or
  • additional low carbon housing units; and/or
  • other infrastructure deemed necessary for the support of the above, within Greater Manchester

The beneficiaries of subsidies under the Scheme are expected to include housing developers and other private sector entities engaged in the delivery of housing, Registered Providers of Social Housing, Local Authorities and other public sector organisations. Subsidies under the Scheme may be provided in the form of grant, subsidised loans or equity.

GMCA anticipates that the Scheme will lead to supporting the delivery of at least 10,000 new housing units (including affordable housing such as shared ownership and housing for social rent) by Summer 2029.

Information for third parties

If you wish to comment on matters relevant to the SAU’s evaluation of the Assessment of Compliance concerning the GMCA Brownfield Housing Scheme, please send your comments before 5pm on the date stipulated in the timetable above. For guidance on representations relevant to the Assessment of Compliance, see the section on reporting period and transparency in the Operation of the subsidy control functions of the Subsidy Advice Unit.

Please send your submissions to the public authority: BHF@greatermanchester-ca.gov.uk.

Please also provide a contact address and explain in what capacity you are making the submission (for example, as an individual or a representative of a business or organisation).

Notes to third parties wishing to make a submission

The SAU will only take your submission into account if it can be shared with GMCA. The SAU will send a copy of your submission to GMCA together with its report. This is to allow the public authority to take account of the submission in its decision as to whether to make or modify the scheme or its assessment. We therefore ask that you provide express consent for your full and unredacted submission to be shared. We also encourage you to share your submission directly with GMCA using the email address provided above. The SAU may use the information you provide in its published report. Therefore, you should indicate in your submission whether any specified parts of it are commercially confidential. If the SAU wishes to refer in its published report to material identified as confidential, it will contact you in advance.

For further details on confidentiality of third party submissions, see identifying confidential information in the Operation of the subsidy control functions of the Subsidy Advice Unit.

Contacts

Updates to this page

Published 22 July 2024
Last updated 2 September 2024 + show all updates

  1. Final report published

  2. First published.

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