West Wiltshire will see 350 new affordable homes built after Wiltshire Council’s initiative to tackle the county’s housing shortage has been approved.

A contract which will see houses built in Trowbridge, Melksham, Westbury and Warminster was signed on December 21, meaning plans can now be put in place to make the houses a reality.

Wiltshire Council’s business case for £77m in investment through the Private Finance Initiative scheme was given Govern-ment approval.

The first phase of 242 homes will be built by Persimmon Homes and later managed by Sarsen Housing Association in Devizes.

Plans to build a further 100 homes will also go ahead.

The first properties will be ready to move into during the summer.

Much of the £77m investment comes in the form of land donated by Wiltshire Council and Persimmon Homes.

In Trowbridge there will be 31 homes at Broad Street, 24 at York Buildings and 18 at Paxcroft Mead. There will be 51 new homes on land next to the Manor School in Melksham, while Westbury Leigh will see 53 homes on two sites. In Warminster, Hillside will see 33 new houses and Victoria Road will get 32 new homes.

The housing PFI allows local authorities to work with private sector partners to build, improve and manage housing. It is administered in England by the Homes and Communities Agency, which has been working with Wiltshire Council in support of its bid.

This scheme is one of 13 that the Government signalled its support for in November last year.

John Thomson, cabinet member for housing, said: "I am really pleased the Government has approved our business case to ensure these 350 much-needed affordable homes can be built, despite the difficult financial times.

"It is especially important during the economic downturn that we are able to provide enough good-quality accommodation for Wilt-shire’s residents, and also bring much-needed jobs and commercial activity to the area."

Steve Blake, group development director for Aster Group, Sarsen Housing Association’s parent company, said: "We’re delighted to be working alongside Wiltshire Council, Westbury Partnerships and the HCA to help deliver, manage and maintain these vital new homes.

"As well as providing high-quality affordable housing across the county, this project will also create around 40 new jobs. We’re looking forward to getting started."