Tuesday, 12 July 2016

Help To Buy – The Drugs Don’t Work

A government press release on Help to Buy emphasised getting people on to the housing ladder and supporting ‘responsible lending’. Accompanying statistics, however, show it is failing to help those on normal incomes. Of those using Help to Buy Equity, 1 in 5 are already homeowners and the incomes of those using the scheme are higher than those of young renters in the regions of England where it is most popular. The median gross income of households under 40 renting outside London is £31,500 but for those who bought with Help to Buy it is £43,000– over £11,000 higher. The government’s own evaluation acknowledges that over half of those using Help to Buy Equity could have bought something similar without it. Read more on the Shelter blog.

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