The Department for Communities and Local Government said the housing minister was also writing to entities in the mortgage market to highlight the strong business case for lending to self-builders.
In his letters to lenders, Shapps highlighted a new “toolkit” written by the Building Societies Association which would provide information and advice to lenders looking to expand into the growing self-build market.
Shapps said: “The self-build industry is riding the crest of a wave, with more people than ever wanting control over the design and build of their home. But despite this self-build surge, we continue to lag behind the rest of the world. I am determined to change this so anyone who wants to embark on a self-build project has the opportunity to do so.”
In April, the National Self Build Association reported the number of mortgages available to self-builders was set to rise by 141% over the next three years.
Despite this predicted uplift Britain still lags behind the rest of the world with just one in 10 of all homes each year built by self-builders. The government therefore pledged to double the size of the industry.
The National Self Build Association recently appointed Kevin McCloud, presenter of Channel 4’s Grand Designs, as the self-build industry’s champion.
To mark the start of his role, McCloud today accompanied the housing minister as he led a UK trade delegation to the Netherlands to see what lessons could be learnt from the Dutch self-build industry.
The delegation visited Almere near Amsterdam, the largest low-cost self-build experiment in Europe.
The DCLG said that he would be launching the £30m fund for projects similar to those in Almere.
McCloud said: “In the past we have built some of the poorest performing, most expensive and smallest homes in Europe. That's not something to celebrate.”
McCloud added that there was however another way.
He said: “What if we became a nation of self builders like the Dutch? What if each household in the UK had the option to build their own place? What if large-scale developers provided finished-slab, fully-serviced sites for homebuilders?
“We'd see more customised homes that reflect where they are, to higher space standards and to a better quality. We'd see people sharing skills and saving money. We'd see neighbours working together on community self build schemes and local construction economies thriving. And we'd certainly see more energy efficient buildings and a wider embracing of green technologies.”
McCloud added that self-build was seen as a long, difficult and self-sacrificing process. But with the right planning, help and support it could be enjoyable and on collective schemes, empowering.
Ted Stevens, chairman of the National Self Build Association, said: “Kevin is a fantastic ambassador for the self build sector and we're delighted he has agreed to become our champion.
“He has a real enthusiasm to see new types of self build happen in the UK - and I know he shares our interest in the innovative developments that are taking place in continental Europe - particularly in the Netherlands and Germany.
“There are many lessons to be learnt from here that could have a huge impact if we applied some of them in the UK.”