The allocations are part of overall regional allocations drawn from the £10.4billion for housing investment made available through the Regional Housing Pot over the next three years.
The funding will support the Housing Green Paper commitment to provide at least 70,000 affordable homes a year by 2010-11 of which 45,000 will be social rented homes.
Announcing the funding, Housing Minister Yvette Cooper said:
"Social housing has been part of the fabric of the nation for over a hundred years. However, social and affordable housing must now meet the needs of the twenty-first century too. Seventy per cent of households are now home owners, and ninety per cent say they want to be. As a government we want to widen access to home ownership and help more people build up assets. But home ownership won't be sustainable for everyone. And for some it is a real struggle to find an affordable stable home in the private sector.
"Social housing needs to deliver the security and stability as well as the affordability that families need. But affordability and security are not enough. Social housing needs to support opportunity too.
"Social housing should help people get on in life, not hold them back. That means supporting people, not just investing in bricks and mortar. We must do more to help families out of overcrowded homes, but also give people more choice and opportunity in housing too."
For existing housing, around £2billion will be used to support projects to improve the stock condition alongside wider regeneration projects. This funding will underpin the continuing commitment to ensure all local authority (LAs)owned social rented stock achieves the decent homes standard by 2010 and to secure significant improvements in private sector housing.
The allocations also incorporate proposals for the regional distribution of an additional £97m for Gypsy and Traveller Site Grant to provide new and refurbished sites for Gypsies and Travellers. The Grant aims to help LAs address the current shortfall in provision and so tackle the problem of unauthorised camping.
The allocations reflect advice from the Regional Assemblies and the Mayor in London subject to the need to deliver against the important national priorities identified in the Housing Green Paper. The Regions' advice will also inform the Housing Corporation's work as they develop the National Affordable Housing Programme for 2008-11.
Ministers have pledged to continue to work closely with the Regions as the programme is delivered over the next three years in order to ensure maximum outputs which reflect regional needs.
