Huge house building scheme unveiled

Plans to build 120,000 homes and to create 180,000 jobs in the Thames Gateway area by 2016 have been set out by Deputy Prime Minister John Prescott today.

Launching "Creating Sustainable Communities: Making it Happen", Mr Prescott unveiled a package of public and private finance - potentially worth at least £2 billion - for the housing projects.

The Deputy Prime Minister announced five priority areas in the Gateway - East London, Greenwich - Woolwich, Barking Reach, Thurrock and North Kent-Thameside - where £330m will be spent over the next three years on 100 projects to open up key development sites.

New arrangements will also be made for the disposal of surplus public land to ensure that other public sector bodies have the first option to buy.

The Gateway contains the largest collection of brownfield sites - 3,000 hectares - close to a capital city in Europe, with exceptional potential for sustainable development.

Mr Prescott also earmarked additional cash for three other growth areas - Milton Keynes-South Midlands; London-Stansted-Cambridge; and Ashford.

Mr Prescott said:

"The money I am allocating will help to kick-start the process of turning Europe's largest collection of brownfield sites into living, breathing communities where people are proud to belong.

"But we are being careful to ensure that growth is properly managed and we stand by our commitment to maintain or increase the green belt and stop the profligate use of land."

He added that the successful delivery of this agenda also required that schools and hospitals were in place as part of the development plans.