Javid To Make Changes To Help To Buy Loans

Sajid Javid, the secretary of state for CLG has told housebuilders that he will make changes to Help to Buy loans to help boost the housing market. Following the recent housing white paper setting out the government’s plan to reform the market, Mr Javid discussed various issues related to housing and how the government intended to address them. With regards to some housebuilders using leaseholds in an unfair manner, Mr Javid commented: “As a government committed to building a fairer society, I don’t see how we can look the other way while these practically feudal practices persist. So, I will look to ensure Help to Buy equity loans are only used to support new-build houses on acceptable terms.” Read more on Development Finance Today.

Brexit Puts Almost 50,000 Property And Construction Firms At Risk

Almost 50,000 property and construction firms with “shaky” foundations could bear the brunt of Brexit, according to new research, which revealed that 49,186 construction and real estate businesses were classified as experiencing “significant” financial distress ahead of the EU referendum in the second quarter of 2016. Experts are now predicting London house prices could plummet by up to 20% following the decision to leave the EU. Despite the high proportion of construction firms at risk, the research found that financial distress decreased across every sector in the UK prior to the referendum. Read more on the Development Finance Today website.