Homes England approves £124 million funding package for vital infrastructure to support 20,000 home development in east London.
The Government's housing and regeneration agency, Homes England, has approved a £124 million funding package to unlock more homes and deliver new state-of-the-art infrastructure at Barking Riverside in east London.
Barking Riverside, a 443-acre brownfield site formerly occupied by Barking Power Station, is one of Europe's largest placemaking projects. Upon completion the new mixed-use development will provide affordable family homes, enhanced green spaces, 7 new schools and better access to the River Thames, as well as a significant amount of retail, employment and community space.
The funding agreed by Homes England is a combination of loan and grant funding and will help master developer Barking Riverside Limited (BRL) - a partnership between L&Q and the Mayor of London - to prepare the land including flood defence work and the construction of an energy centre and parks. This vital infrastructure will help make it possible to build another 16,500 homes on the site, to complement the 3,500 already built or under construction by housing association, L&Q, and housebuilder, Bellway. This could see up to 20,000 new homes in total delivered at Barking Riverside, creating a community of up to 50,000 people.
Tom Copley, the Deputy Mayor of London for Housing and Residential Development, said: "Barking Riverside is an exemplary new town that is transforming east London with state-of-the-art new homes, community facilities, transport links and green spaces.
"I'm delighted that £124 million has been secured to help unlock 20,000 new, high-quality homes. This will help support the mayor's plans to boost homebuilding across London and build a fairer, more prosperous city for everyone."
The site's current planning consent for 10,800 homes was originally approved by the London Borough of Barking and Dagenham in 2008, however it's since been identified that the site could house up to 20,000 homes, with a minimum of 35% of these being affordable.
Fiona Fletcher-Smith, CEO at L&Q said: "This new funding from Homes England is a vital boost for Barking Riverside. With demand for affordable housing soaring, housing associations like L&Q are essential to delivering solutions - but real progress depends on government support. That's why this investment is so important: it allows us to do more, faster, and at a scale that truly meets the needs of local people.
"Barking Riverside shows what's possible when ambition meets collaboration. Through strong partnerships and a shared vision, we are transforming this brownfield site into a sustainable community, prioritising quality homes, green spaces, and new opportunities. The progress here is a testament to what two like-minded organisations can achieve together, and we're excited to move forward with the next phase of homes and infrastructure for the people of east London."
Significant transport infrastructure to unlock the initial 10,800 homes has already been completed following a previous funding commitment from Homes England in 2020. The new Barking Riverside overground station opened in 2022, while the development will also give the community access to a network of footpaths and cycleways with direct access to 2 kilometres of south-facing riverfront on the Thames.
Future homes built at Barking Riverside will be powered by a low carbon District Heating Network, which means that heat and hot water is generated locally and brought to homes through an underground network of insulated pipes, an environmentally friendly alternative to gas boilers. Once completed, Barking Riverside will be served by 7 new schools. 5 have already been completed, including 2 primary schools, a secondary school and a Special Educational Needs (SEN) school.
Matthew Carpen, Managing Director of Barking Riverside, said: "Barking Riverside has delivered thousands of vitally needed new homes for Londoners, on brownfield land that has already seen a significant investment in infrastructure. However, the support from Homes England will enable this project to move into a new era - increasing the level of ambition and unlocking housing at the scale needed to truly make an impact.
"We are excited to make our new masterplan a reality, which would not be possible without a number of important partnerships. Fundamentally, this funding from Homes England ensures that Barking Riverside can remain delivery-focussed and resilient despite a challenging market."
Peter Denton, Chief Executive of Homes England, said: "Delivering the government's target of building 1.5 million homes will require support and collaboration from across the housebuilding sector.
"At Barking Riverside there is potential to literally build more homes - and more affordable homes - in a place where they are desperately needed. And that's why we've stepped in, providing funding to deliver vital infrastructure, unlocking more land, so that our partners can build even more homes for the people of east London to enjoy and be proud of."
