Top of Page
Sign up to our newsletter

Government launches new housing strategy

Government launches new housing strategy

The Strategy will break the current cycle whereby lenders won’t lend, builders can’t build and buyers can’t buy by making it easier to secure mortgages, addressing unfairness in social housing and making use of empty homes.

At the heart of the Strategy is the new build indemnity scheme, which will help up to 100, 000 prospective buyers who are currently unable to get on the property ladder because of the need for large deposits. Under the proposals, homebuyers will be able to secure loans on newly built homes with only a five per cent deposit; the Government and house builders will then provide security for the loan.

Further measures include a ‘Get Britain Building’ fund, which will see developers compete for £400m to re-start development on projects that have stalled, helping to deliver up to 16, 000 new homes. Affordable housing developers will be able to compete for a share of £1.8bn to help deliver the Government’s target of 170, 000 new affordable homes over the next four years.

The Government will also consult shortly on proposals to increase discounts under the Right to Buy, giving social housing tenants the opportunity to buy the homes they live in. The receipts from Right to Buy sales will then be used to help fund new affordable homes.

Other parts of the Strategy include action on empty homes and support for older people to live independently.

Laying the Foundations: a Housing Strategy for England can be downloaded here