AN £8m housing association scheme will provide more than 100 homes during the next year.

The Nomad Housing Group is to get Government grants of almost £3.7m to build homes for rent or low-cost ownership.

The grants, from the Housing Corporation, will allow Nomad to build 93 homes for rent and 12 for shared ownership.

It will be the biggest development of any housing association in the North-East.

Nomad chief executive Ian Prescott said that to have the largest approved development programme for the third year running illustrated the strength of the organisation.

He said the level of house-building would create or safeguard 240 jobs directly, and support a further 1,000 indirectly. Mr Prescott said: "Getting such a large allocation cements the good relationship we have with our local authority partners, and our ability to achieve targets by providing good quality properties on time and at affordable costs."

Nomad plans to build homes in Tynedale, North Tyneside, Newcastle, Gateshead and Sunderland.

Land has already been bought and planning permission obtained for two of the projects - a development of ten three-bedroom family houses at Winlaton, and four pensioners' bungalows and a special needs bungalow in Washington.

Mr Prescott said he put the association's success down to thorough research carried out before starting any development.

He said: "We believe in a strong teamwork approach."