This is a 30 percent increase in funding by 2010/11 compared to this year.
This money is the allocation of regional funding for 2008-11 - from the total announced in last week's Comprehensive Spending Review. The money will go towards improving existing social housing and regeneration projects in the South East in addition to supplying more social and low-cost housing.
The Regional Assembly will now put forward proposals for how the money is spent in the South East.
Housing Minister Yvette Cooper said:
"The South East needs more affordable, decent homes not just to own, but also to rent.
"We need more low-cost homes and more social homes and we need to work in partnership with housing associations and private developers to create mixed communities. Providing social housing for families and addressing the problems faced by first-time buyers is a top priority for this Government and today's allocations show we are committed to this."
Additional support for affordable housing is provided through Section 106 and other programmes. The Government is also promoting further ways to fund shared ownership homes through Local Housing Companies and agreements for housing on disused public sector land, as well as through the Housing Corporation's Funds.
Today's new funding is in addition to a further £2bn through the Arms Length Management Organisation (ALMO) programme.
