Already many of the country’s councils and 30 house builders, including Taylor Wimpey and Bellway, are pledged to run the new Starter Home initiative.

Some have started looking at sites that could be used for the new discount homes.

Under the new Government plan aspiring home owners aged under 40 will be asked to register their interest in initiative from the start of next year – at least 6 months earlier than planned.

The government is today setting out how the scheme will work with a change to the planning system to free under-used or unviable brownfield land from planning costs and levies in return for a below market value sale price on the homes built on the site.

Developers and councils are being consulted about the proposals designed to unlock a range of sites across the country.

The government will now work with the industry to develop a register that, from January, will allow prospective buyers to provide their details and register their interest in owning a Starter Home.

Currently, builders can face an average bill of £15,000 per home in Section 106 affordable housing contributions and tariffs.

Under the Starter Homes proposals developers would be exempt from those Section 106 and Community Infrastructure Levy charges.

The homes could then not be re-sold at market value for a fixed period – making sure that the savings are passed onto homebuyers.

A new design panel, including leading architects like Sir Terry Farrell and Sir Quinlan Terry will be formed to ensure the lower cost homes are well-designed.

Prime Minister David Cameron said: “Hardworking young people want to plan for the future and enjoy the security of being able to own their own home. I want to help them do just that.

“Under this scheme, first-time buyers will be offered the chance of a 20% discount, unlocking home ownership for a generation.

“This is all part of our long-term economic plan to secure a better future for Britain, making sure we are backing those who work hard and get on in life.”