Give Britain’s Young Homebuyers State Loans For Deposits

Young people struggling to buy their first home should be offered loans by the government to help them pay the deposit, according to a new report which warns that reduced home ownership and the recent surge in private renting is damaging family life. The idea has been put forward by the Housing and Finance Institute (HFI). As with the current system of student loans, the HFI suggests the loans could be repaid as a proportion of salary once the recipient has reached a certain income threshold. Alternatively the money could be repaid under a simple repayment arrangement, although at a low interest rate and over a long term. Read more on the Guardian website.

https://www.theguardian.com/society/2018/jul/29/housing-renting-mortgages-loans-home-ownership-first-time-buyers

Housing Targets Need ‘Radical New Approach’

The Housing and Finance Institute issues warning that government housing targets are unlikely to be met without a change in industry support. The government has been warned that a radical new housebuilding approach is needed if its new target to build 300,000 homes a year is to be reached.

There have been only six years since the Second World War that more than 300,000 homes a year have been completed in England.  The Institute says the sector is not confident it can deliver the major up shift in numbers required to meet the new target without radical change in the way government supports the industry. Read more on the HFI website.

http://www.thehfi.com/research-&-publications/press-and-profile/natalie-elphicke-not-since-the-moon-landings/80

Treasury-Backed Housing Institute Established

A new Treasury-supported body to help accelerate council house building will focus on the ‘business readiness’ of local authorities when it launches in the next few weeks. Brandon Lewis, the housing minister, has held the first summit with the key players in the new Housing and Finance Institute (HFI), ahead of its official launch. The body – which was a key recommendation of January’s House/Elphicke review into council house building – was given the backing of George Osborne in the March budget. It will provide wide-ranging advice and practical assistance to local authorities and businesses through promoting new finance models and development opportunities. The body will not receive government funding and will have a membership structure for councils and businesses to access its advice. Read more on the Local Government Chronicle website.