A local building company has praised David Cameron’s new planning reforms to boost the housing industry.

McCaul Developments, which is based in Astley, believes it will get the construction industry back on track and greatly improve the British economy.

The Prime Minister announced a package of measures last week. They include an injection of cash, looser planning laws and the lifting of requirements for developers to build affordable homes .

The Government claims the new system will help build at least 70,000 homes and create 140,000 jobs .

It follows the £750 million ‘Get Britain Building’ fund announced by the Government earlier this year to encourage development of much-needed homes. The scheme developed by the Homes and Communities Agency (HCA) offers funds to developers at a lower interest rate than the banks.

McCaul Developments has just received funding from the HCA for 35 houses and apartments at a site in New Islington in Manchester city centre. The company hopes to start work in December.

“The Government has come out strongly in support of the construction industry, and acknowledged the vital role it plays in the economy,” said McCauls director Sean McCaul, who runs the company with his brothers Tony and Martin.

“We are behind these new initiatives because there is a massive shortfall of houses in the country. We feel really positive about the housing market for the end of the year and into 2013.”

The company is delighted to have received Government funding for New Islington, and is looking at other developments in Astley, St Helens and Wigan.

‘We are firm believers that if you build the right quality product and sell it at the right price you will always be able to sell homes,” said Mr McCaul.

“We know this from the success we have had on our most recent site, The Village in Green Lane, Leigh.”

The Village – built on the site of the former Village pub – has been a big success for McCauls. The first phase of six townhouses sold within months. The second phase of four-bedroom detached houses has also been popular, with just one remaining.

The company is now building a bungalow on the gated site. It consists of a living room, designer kitchen, two bedrooms – one en-suite – a garden and terrace. It goes on the market next month.

The last remaining detached house costs £285,000.

Mr McCaul said: “Bungalows are back in vogue in a big way. They are taking over where apartments left off. We expect this one to be in demand. As far as we are aware we are the only house builder developing a range of bungalows in Leigh and the surrounding area for many years.” The company has other bungalow and housing schemes in Tyldesley and Astley, which start later this year and early next year. For more details call 01942 877600 or visit mccauls.co.uk.