Lloyds Banking Group to convert old data and office sites into social housing with first scheme in Pudsey

The group has also announced a £200m financing commitment to support small, local organisations “to provide housing for those who need it most”.

In a statement, the group said: “To increase the supply of new social housing in the UK, Lloyds Banking Group has announced intentions for the redevelopment of decommissioned group data centres and former office sites into new social housing projects.

“The group has plans to identify suitable housing partners in the regions who will be responsible for redeveloping the sites to increase the availability of social housing. The construction of the first site in Pudsey, formerly an office and data centre is set to commence in 2026, subject to planning permission.”

A full review of the group's legacy commercial real-estate portfolio is underway, with plans progressing to finalise additional sites that could also be developed by housing partners as social housing in the coming years.

Lloyds Banking Group is also making a £200m financing commitment which will focus on providing housing to those experiencing homelessness or individuals with special needs.

The statement added: “This financial commitment will enable small housing providers across the country to increase the number of homes they are able to make available for the most in need.”

"Lloyds Banking Group will also become the first UK bank to actively enter the market to own good quality housing that will be available to house families at risk of homelessness,’’ the statement added.

"Through Citra Living, the group will acquire suitable homes and work in partnership with housing organisations and local authorities to lower the costs of providing suitable and good quality accommodation for families who are currently living in temporary accommodation. The initial pilot scheme will begin in August in Cambridge, with plans to roll out to other cities across the UK.”

"The homes will be sourced to address the particular needs of local authority areas. The pilot will focus on directly supporting families currently presenting as homeless or those in temporary unsuitable accommodation.”

Charlie Nunn, chief executive officer, Lloyds Banking Group, said: “Everyone has the right to build a future from the foundation of a secure home.

"Social housing is part of this country’s critical infrastructure, and we need to direct and increase investment into the right homes, in the places they’re needed most.

"Lloyds Banking Group has provided £17bn of support to the sector since 2018 and today we also have announced our plans to redevelop decommissioned group data centres and former office sites for new housing projects - and I would encourage others to also consider this.

“We’re also making a major financing commitment to housing providers, and through Citra Living we will own good-quality homes to be made available for those most in need.

"In partnership across the private, public and third sectors, we can create more good-quality, genuinely-affordable homes.”