Housing: Construction – Parliamentary Written Answer

Mike Amesbury: To ask the Secretary of State for Housing, Communities and Local Government, what assessment has he made of the effect of the First Homes scheme on the level of Section 106 contributions to social and affordable (a) rent and (b) shared ownership.

Christopher Pincher: We have recently consulted on both the design of First Homes policy and options for its implementation. The consultation closed on 1 May and we are currently analysing the responses. As part of this we are considering the implications for other tenures. We will publish a response to the consultation in due course.

http://www.parliament.uk/business/publications/written-questions-answers-statements/written-question/Commons/2020-05-12/46154

Discounted Housing Scheme Out Of Reach Of Most First-Time Buyers

A high-profile housing scheme offering first-time buyers discounted homes will be unaffordable to the vast majority of workers on average or low incomes. The First Homes scheme has been described by ministers as “genuinely life-changing for people all over the country”. However, new analysis suggests it will be out of the reach of average earners in 96% of England. Research by Shelter found that, in almost all parts of England, someone on an average salary or lower could not afford to buy one of these new-build homes. It also shows that almost two-thirds (63%) of private renters in England have no savings at all for a deposit. Read more on the Observer website.

https://www.theguardian.com/society/2020/feb/16/first-homes-scheme-unaffordable-most-buyers

Doubts Raised Over ‘First Homes’ Scheme

Industry leaders have questioned the delivery of the government’s proposed “First Homes” policy of selling discounted new-build houses to local buyers. The scheme was outlined as part of the Queen’s speech. The policy, which will see developers pay for homes to be sold at a 30% discount to local first-time buyers, has been compared to the failed £2bn Starter Homes programme, which ended up with no homes being built. Read why the new policy should be viewed with some scepticism on the Housing Today website.

https://www.housingtoday.co.uk/news/doubts-raised-over-first-homes-scheme/5103459.article