Tamil Nadu launches affordable housing scheme for middle-income families

The Tamil Nadu government has announced a new affordable housing scheme for middle-income families as part of the 2026-27 Budget, alongside a major allocation for housing and urban development aimed at strengthening civic infrastructure across the state.

Presenting the Budget on Wednesday, finance minister Marie Wilson announced an allocation of Rs 8,852 crore for the Housing and Urban Development Department.

The funding will support a range of initiatives, including the new housing scheme, redevelopment of ageing tenements, preparation of a master plan for the expanded Chennai Metropolitan Area and technology-driven urban governance, reported The Times of India.

The affordable housing scheme is intended to help middle-income families gain access to quality homes while addressing growing demand for urban housing.

The Budget also proposes the redevelopment of old housing tenements to improve living conditions and modernise residential infrastructure.

In addition, the government plans to introduce an artificial intelligence-based governance platform to improve urban administration and public service delivery.

The preparation of a comprehensive master plan for the expanded Chennai Metropolitan Area is also expected to guide future urban growth and infrastructure development across the region.