Editor: While the chancellor delivered several welcome tax cuts in the Spring Budget, there was a disappointing absence of support pledged for prospective homebuyers.
First-time buyers have been struggling to get on the property ladder for some time, but their efforts have certainly been exacerbated by the end of Help to Buy in 2023.
This initiative helped some 350,000 young people and families to buy a new build from 2013, and accounted for 83% of total purchases. Now the scheme has finished, it is sorely missed by thousands of would-be buyers who are stuck in the rental market because of their inability to afford a deposit.
If the government is to kickstart the housing market, Help to Buy must be reintroduced as soon as possible.
The scheme was invaluable for those who couldn’t rely on financial help from families, and was simple to understand and access. It was fit for purpose, and it is imperative it is resurrected or the government will have to find an alternative way to support first-time buyers to secure the deposit they need to get on the ladder.
People’s aspirations to own their own property are as strong as they’ve ever been, but the support they need from the government is simply not there, and their situation is exacerbated by higher interest rates and cost-of-living pressures.
First-time buyers are integral to the success of the property market, which cannot flourish unless more support is provided to those buyers. The situation cannot continue as it is as the result will be a huge reduction in first-time buyers, and many more will be forced into rental accommodation, which would be a shock to UK landlords who do not have capacity to meet the level of demand.
Calls for government intervention will inevitably grow louder the longer that this issue goes unaddressed.
Vernon Pethard, managing director, newhomesforsale.co.uk
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