A disused prison site bought by the Home Office in a botched deal has been transferred to Homes England.
The Home Office bought HMP Northeye, in Bexhill-on-Sea, East Sussex, for £15.4m in September 2023 with the intention of using it to house 1,400 asylum seekers. It was later revealed that the department had overpaid for the siteand that it was unsuitable for this use.
The site, which was allocated for housing in Rother District Council’s 2019 Local Plan, has now been formally transferred from the Home Office to Homes England, the housing delivery agency has announced.
With the transfer complete, Homes England said it intends to work with the local council and community to turn the site into a housing development.
Amy Rees, chief executive of Homes England, said: “The transfer of the Northeye site represents not only a significant local milestone but also a clear example of Homes England’s national strategy in action, unlocking public land, working in partnership with places, and helping to deliver the homes and places communities need for the future.”
Rees, who was chief exec of HM Prison and Probation Service before joining Homes England in September, said the transfer “means we can now start work to bring the former Northeye site back into use”.
“By working with the council and the local community, we want to help deliver new homes that meet local needs and support Bexhill’s future,” she added.
The agency will now begin essential maintenance and site management works. Over the coming months, it will work closely with Rother District Council, community groups and local residents to “shape proposals that reflect local priorities and support Bexhill’s long-term aspirations”.
Homes England’s recently launched Strategic Plan 2025-2030 sets out a national mission to accelerate housing delivery and unlock public land for regeneration. The plan outlines how the agency will help deliver the government’s target of 1.5 million new homes this parliament, significantly increase housing supply across all tenures, and deliver the biggest boost to social and affordable housing in a generation.
As part of this strategy, the agency has pledged to remove barriers to development and supporting high quality, mixed-tenure communities. Announcing the transfer, Homes England said this approach will help shape future proposals for Northeye, ensuring the site supports a thriving and resilient community.