The government is set to pump more than £300 million into the north and Midlands in order to support both housing regeneration and the construction industry.

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Housing minister John Healey said up to a thousand construction jobs could be created as properties in the regions are built and improved thanks to the Housing Market Renewal programme which began in 2002 and is being expanded.

"At the same time this power of government investment will also support the construction industry during the recession, create opportunities for local workers and apprentices to learn a trade," he stated.

Some of the areas that will benefit from the new jobs and funding will be Birmingham Sandwell, east Lancashire, Merseyside and South Yorkshire.

The scheme is supported by the Homes and Communities Agency, which recently completed an £833,000 housing development in Herefordshire.