Lewisham Council has signed off plans to build 167 new council homes across the borough, at a cost of £47m.

The homes will contribute to the council’s target of building 500 council homes by 2018, according to council documents.

“In July 2012 the Council embarked on a programme to build 500 new Council homes in response to a series of on-going housing policy and delivery challenges, most notably an enduring under-supply of new affordable homes available to the Council to meet housing demand,” the documents explained.

“London faces one of the most significant housing shortages since the end of the Second World War.

“Lewisham Council acknowledges the challenges faced by our residents and is committed to tackling those with the greatest housing need.”

Lewisham Homes, the council’s social housing provider, will appoint a contractor after funding was approved for four schemes across the borough, according to the documents.

This includes 88 new homes across five sites, at an estimated value of £25.7m, at Somerville Estate, Bampton Estate, Algernon Road, Grace Path and Silverdale Hall.

Other sites include 64 new homes at Knapdale Close, Hillcrest Estate and Kenton Court, at a value of £22.5m.

Funding was also approved for the construction of six new homes at the scheme known as Marnock Road in Crofton Park ward for £1.68m, as well as nine new homes at the Endwell Road scheme in Telegraph Hill ward, for £2.3m.