Business leaders are calling support for the construction industry and house buyers in tomorrow's budget.

Chancellor Philip Hammond is believed to be ready to to find £5bn for housing schemes and loans to small home builders as part of the government's pledge to build 300,000 new homes every year.

But Mr Hammond is not expected bow to Communities Secretary Sajid Javid's request to borrow £50bn to "turbocharge" home building.

However he could be set to give council's more power to speed up projects where developers are seen to be dragging their feet.

Speaking at the weekend Mr Hammond said he wanted "tackle the housing challenges we face in this country" by ensuring approved planning permissions actually get built and making certain "every inch of available land is properly used and developed" in towns and cities.

Robin Shepherd, Partner at Southampton-based planning and design consultancy, Barton Willmore urged the Chancellor to keep the Help to Buy scheme going

“There is a need for the Chancellor to underpin his commitment to the Help to Buy Programme. I strongly believe this ongoing uncertainty about its future will have a negative impact on not only the construction industry, and all the sectors that feed them, but also the regions that rely on help to buy. Southampton has one the highest number of help to buy schemes on offer across the South-Central region.

The Federation of Small Businesses (FSB) is calling for more support for small building companies.

Recent research from the Federation of Master Builders (FMB) demonstrates that two of the biggest challenges facing smaller housebuilders are access to finance and access to land .

The two lobby groups are calling for builders to be given, access to finance to buy service and get planning consent for their own sites. Secondly, local authorities must use the planning system to ensure a supply of serviced sites with planning consent that small builders can build straightaway.

FSB is calling on the Chancellor to extend the £3bn Home Building Fund, announced in last year’s Autumn Statement which is aimed at supporting smaller firms.

Te federation is callings on the government to deliver on its promise to exempt sites of ten units or less from affordable housing contributions and to ensure that local authorities do not simply increase Community Infrastructure Levy (CIL) contributions on these sites to negate the government's intention.

FSB chairman, Mike Cherry, said: “There is no denying that the UK’s housing market is in a state of arrested development and is in desperate need of a stimulus. Small housebuilders have huge potential to play this role if they are given the keys to do so. The Chancellor can set a clear statement of intent for housing by introducing measures that support smaller housebuilders and enable them to activate the housing market in next week's budget. Extending the Home Building Fund is a key example of an effective lever Government can pull to break down one of the major barriers faced by smaller firms trying to enter the housing market – access to finance.