The banking sector and the Stormont Executive are to join forces and work together to inject further funding into Northern Ireland's co-ownership housing scheme.

The NI Finance Minister Sammy Wilson and the Social Development Minister Nelson McCausland announced that the Executive and local banks are to boost both the construction sector and the housing market with the innovative move.

The announcement came as the Finance Minister unveiled the outcome of the October Monitoring Statement to the Assembly. The announcement includes an additional £10m of funding towards affordable homes schemes in this financial year and each remaining year up to 2014-15.

The DUP's Sammy Wilson said: "The increase in funding is evidence of the Executive's commitment to help people take their first steps on the property ladder and simulate some much needed activity in the local property market.

"Along with the Housing Minister Nelson McCausland, I recently met with local banks and building societies to discuss how they could play their part in this initiative and we have been assured by the level of commitment and support that has been expressed," he said.

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"The construction sector has suffered extensively in this world-wide recession and this cash injection, along with Minister McCausland's announcement last week on a further £3.25m for the housing market, should help in restoring some confidence in that sector albeit in a small way - but it is a step in the right direction and I am convinced that there are considerable grounds for optimism."

The institutions that expressed their broad support for this mew scheme are Ulster Bank, Northern Bank, Bank of Ireland, First Trust, Lloyds/Halifax, Progressive, Barclays, Nationwide and Santander.

The Stormont Social Development Minister, Nelson McCausland, worked closely with Mr Wilson in developing this proposal and he commented: "The provision of good quality affordable housing is a priority for the Executive and I took the opportunity to bid for £10m for Co-Ownership as part of the October Monitoring Round.

"I am pleased that this bid was successful as the additional funding announced for the Co-Ownership scheme for this year, and each of the following three years, added to the current annual funding of £15m will enable almost 2,400 families to own their own homes over the budget period," the DUP man said.

"This funding, along with the £3.25m already announced for the First Buy pilot scheme is good news for prospective home owners and the construction sector.

"In addition, I am pleased that a further £2m has been made available to the NI Housing Executive to improve energy efficiency in its housing stock, mainly through the installation of double glazing.

"This will help tenants reduce their energy bills and make their homes more comfortable," he added.

The announcement was made in the context of the October Monitoring round, in which the Executive allocated more than £70m to the Northern Ireland departments.

Minister Wilson concluded on the Monitoring Round: "I believe that these allocations will have a material positive impact on our public services.

"Many of these allocations will also create further jobs and enhance economic activity, which will provide a much needed boost for our economy."