Fylde MP Mark Menzies has welcomed a £76 million per year boost to help some of the most vulnerable people in society to live independently as long as possible.
Mr Menzies spoke after the Government announced the money to design homes specifically for people with disabilities, mental health issues and older people who need extra support.
He said: "This funding will help some of the most vulnerable people in society to live independently as long as possible.
"It is vital we do this to ensure they can live their lives in the manner they wish to.
"No one should end up in a nursing home or hospital because of a lack of adequate housing; it is imperative everyone is given the option to live independently as long as they are able.
"This will also mean nursing homes and hospitals - and their staff - will be freed up to care for the patients who need their services."
Housing developers will be able to bid for funds from the programme which has already seen £315 million allocated to projects which design such homes.