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Point to note

If you are using this scheme to provide awards of subsidy, you must inform the Subsidy Control Unit – email:

1. Region

This is an All-Wales scheme that all local authorities and registered social landlords (RSLs) are eligible to apply to.

2. Title of subsidy scheme

The Transitional Accommodation Capital Funding Programme (TACP)

3. UK legal basis

Section 58A of the Government of Wales Act 2006 and section 60 of the Government of Wales Act 2006, Part II of the Housing (Wales) Act 2014 and Part VI of the Housing Act 1996.

4. Objectives of the scheme

The Transitional Accommodation Capital Programme (TACP) was established in response to the Ukraine humanitarian response and the growing pressures on temporary accommodation where the numbers of people homeless are increasing due to the worsening cost of living crisis, as well as wider resettlement schemes.

TACP provides grant funding to local authorities and registered social landlords (RSLs) to bring forward good quality longer term accommodation at pace to support everyone in housing need (those in temporary accommodation and initial accommodation for resettlement).

5. Public authority(ies) authorised to implement the scheme

Welsh Government

6. Category(ies) of eligible enterprise

All local authorities and RSLs in Wales.

7. Sector(s) to be supported

  • Accommodation and food service activities
  • Real estate activities

8. Duration of the scheme

The scheme duration is 1 April 2023 to 31 March 2024.

9. Budget for aid under the scheme

Up to £120 million via the 2023-2024 TACP programme in the form of multiple individual grant awards for local authorities and RSLs.

10. Form of support

All subsidy awarded under the scheme will be awarded by way of grant funding.

11. Eligibility terms and conditions

Local authorities and RSLs in Wales are eligible to apply for this grant funding for the purpose of developing or purchasing affordable housing at pace in order to support move on from temporary accommodation. This subsidy scheme is aimed purely at supporting the provision of affordable housing in Wales.

12. Basis for calculating subsidies

The subsidy scheme supports the following different types of project to help reduce housing pressures:

  • Bring voids (empty properties owned by LAs and RSLs) back into use.
  • Acquisition of existing dwellings (homes) to bring them into the social housing sector including the purchase of tenanted properties where this will prevent homelessness.
  • Acquisition of new build properties (for example straight from a developer) to bring more homes into the social housing sector.
  • Acquisition of larger houses (existing dwelling or new builds) specifically to meet the needs of large households currently in temporary accommodation including families being supported through resettlement schemes.
  • Acquisition and/ or development of other properties (e.g. offices, hotels, care homes, student accommodation) to provide more longer-term accommodation.
  • Demolition and rebuild of properties to deliver homes that meet local housing needs to reduce numbers in temporary accommodation and prevent homelessness.
  • Use of modular accommodation on land that is being used on a meanwhile basis (i.e. earmarked for future development).
  • Purchase of Housing of Multiple Occupancy (HMOs) to convert into family accommodation or self-contained flats at point of purchase or purchasing of HMOs for shared housing use which cannot be converted (either at point of purchase or in the future).
  • Temporary supported accommodation to deliver better quality temporary accommodation and help reduce housing pressures.

All projects applying for funding must meet the TACP minimum standards for design and safety.

The Welsh Government currently calculates its Social Housing Grant levels using the Standard Viability Model (“SVM”). The SVM is a net present model that demonstrates the funding gap between the cost of initial purchase/development and ongoing maintenance costs and the return from low rents for social housing.

13. Maximum subsidy allowable under the scheme

The maximum amount of any individual subsidy per project listed in section 12 above is £9,999,999.

14. Contact information

Subsidy Control Unit

Welsh Government
Cathays Park
Cardiff CF10 3NQ
United Kingdom

Telephone: + 44 (0)3000 604 400

Rydym yn croesawu galwadau a gohebiaeth yn Gymraeg / We welcome calls and correspondence in Welsh.