The London skyline was the backdrop when an £80million loan to pay for new housing in Enfield was announced today.

The loan from the European Investment Bank to Enfield Borough Council was announced at the Gherkin this morning.

The money will be spent on speeding up the building of Meridian Water, several small housing sites, school expansion and the Lee Valley Heat Network.

Meridian Water, which is set to create up to 8,000 homes and 3,000 new jobs, is set to become a ‘housing zone’ under the Mayor of London’s scheme to boost housebuilding.

Council leader Councillor Doug Taylor said: “I think this is a major step as part of a journey. We are now in the process of acquisition of land at Meridian Water. Everything is moving in the right direction.”

With cuts inevitable to the budget of Enfield Council, Cllr Taylor said the council needs this investment.

He said: “I think there will be tremendous cuts, but even if there weren’t the sort of capital we are talking about we would always need to borrow. This is a great opportunity.

“I think the trick on all of this is to show it is viable and that your plan is well-grounded and properly researched. We have spent a lot of time and effort.”

The European Investment Bank vice president Jonathan Taylor commended the organisation and planning of the local authority.

He said: “This is all about offering opportunity to major projects across London and Enfield has shown real ambition and good organisation to be able to secure this funding.

“The new investment outlined today is part of an EIB backed £1 billion urban renewal programme that will improve the quality of life and health of Londoners, as well as creating jobs where they are most needed.”

Matthew Pencharz, the Mayor of London’s senior advisor for energy and environment, said: “Enfield is seeing huge growth with exciting schemes such as the proposed Meridian Water Housing Zone set to provide thousands of new homes.

“This latest investment from the European Investment Bank will play a crucial role, not only in ensuring these new homes are environmentally friendly but also by providing cheaper heating and hot water.”

Jayne Clare, project delivery Director for the Lee Valley Heat Network, added: “The Ladderswood Satellite Scheme is the start of the Lee Valley Heat Network, with construction work already well underway. The first 40 homes are on track to receive heat from the network this autumn.”