This could get building work on 22,400 homes back on track and create 20,000 jobs.
This is part of the Prime Minister’s housing pledge announced last month but Healey said this was not a handout.
The Government expects almost half the money to be repaid within five years, over one third will go to housing associations and others to help them manage the affordable housing and less than one fifth consists of direct grants to support developers.
The projects will have to go through a final assessment to determine
which get the green light.
Over 8,600 of these homes would be for affordable rent or sale.
Healey says: “This is not a handout to developers. There are tough terms to this deal including repayment of loans within five years. And only builders who accept a realistic current market price for their land are eligible.
“I want to see builders back on these sites within weeks. So I will be calling on successful developers to pull out all the stops so construction can restart as quickly as possible.”