INVERNESS housebuilder Tulloch Homes has outlined plans to grow its turnover by 50 per cent after receiving a £20million funding package.

The package was agreed with Bank of Scotland, which once owned a 40 per cent stake in the business.

Tulloch said it expects to build around 200 homes during 2017, with a turnover flat at £45million, but added that the new investment will increase its annual pipeline of homes to 300 and boost its turnover by 50 per cent within three years.

In the year to June 2016 the company completed 201 houses with average selling price of £203,000.

Tulloch was the subject of a management buyout in early 2015, when George Fraser and Tom Allison acquired the business from Goldman Sachs and TPG, returning it to Scottish ownership.

The developer, which has 150 staff, is now on site building 50 flats in the old village in East Kilbride, which finance director Sandy Grant said have already sold well off plan and will be ready for occupation in the summer of 2018.

He said: “We have a number of sites that we have acquired for development but had put on hold while we waited for the right time.

“This funding will also enable us to acquire new sites for development in the Highlands, which is our current stronghold. It will also support our move back into the Central Belt, which is a region where we see significant opportunity for future growth moving forward.”

It is currently developing 10 sites, in the Highlands, Aberdeen and East Kilbride.

In its accounts for the year to June 2016, Tulloch posted a pre-tax profit of £6.8m on sales of £45m.

Graham Fiddes, mid markets relationship director for Bank of Scotland, said: “Tulloch Homes has a track record of delivering high-quality housing and is led by an experienced and dynamic team.”