WE are continuously trying to stay on top of the many ways that developers can gain access to finance, writes Tracy Hall, partner and head of real estate at Watson Burton LLP.

Our main objective has been to ensure our clients are aware of all the options available to them and to help them to navigate some of the complexities associated with public or private sector funding.

For the past 12 months we have worked with the North-East Chamber of Commerce (NECC) to jointly produce a major report on housing in the North-East. Based on a survey of businesses in the sector, interviews with a series of industry figures and stakeholders, and overseen by an expert task group, the report will lay out the contribution housing can make to the regional economy.

One of the key issues raised by businesses was access to finance.

Despite tighter public purse strings, and more cautious private investors, we’re constantly seeing announcements being made by the government about new funding streams or initiatives designed to get Britain building. No doubt this will accelerate as we approach a general election and the housing crisis debate climbs up the political agenda.

There are multiple funding options available, but unfortunately this is a big part of the problem.

From the Homes and Communities Agency’s (HCA) £1.7bn grant funding round to the Affordable Homes Programme and the Custom Build Investment Fund - gaining visibility over the right pot to access is tricky to say the least. Combine that with individual local enterprise or commercial lending funds and it is easy to see why developers are struggling to get their head around what is available to them.

If that’s not complicated enough most of these funding streams have complex application processes and a myriad of hoops to jump through. There is genuine concern within the construction industry that they won’t be able to get projects off the ground.

In the North East, whilst the plc private developers largely have established funding streams, other organisations bemoan the fact that trying to find funding is difficult, for both public and private sector housing projects. Very few are picking up public funding streams and as a result many are opting to go straight to banks or private investors.

Experts in the region have also recognised that a large proportion of the available finance is being tapped into for projects in the South-East as rents and return on capital investment are so much more attractive than in the north east.

If we’re going to level the playing field we need funding strategies to be national with a regional bias.

This would ring-fence much needed investment for the North-East. Stripping out some of the complexities and simplifying processes would also help to ensure that lending meets the region’s needs and bids and that local priorities are processed as quickly as possible.