Vistry shareholders have been in desperate need of some good news, and that came in the form of a government grant on Tuesday, which sent shares over 10% higher.
Vistry Group has secured a £350 million direct grant in the first round of the government’s £39 billion Social and Affordable Homes Programme, the largest award available at this stage.
The housebuilder has been reconfirmed as a Strategic Partner under the scheme, and said the funding is well ahead of the first award it received under the previous programme. The money will support the delivery of more than 3,000 affordable homes.
Vistry said it had already identified schemes where it can put the grant to work within the current year, drawing on an established pipeline.
Beyond its own allocation, the group expects to build further homes by working alongside other Strategic Partners, Mayoral Strategic Authorities and councils as they commit their share of the initial £9.58 billion released under the programme.
Vistry noted it already has longstanding relationships with 29 of the 32 other strategic partners named this morning and operates across all mayoral authorities covered by the announcement.
The company has quite got its footing after an accounting debacle rocked the share price. Today’s news isn’t game-changing for the company, but it will be more than welcome.