Budget 2016 - what's next for the housing market?

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Following up on the recent budget from Chancellor George Osborne, there has been increased concern regarding the housing market.

In the past the Chancellor has spoken openly about further Help to Buy initiatives and Help to Buy ISAS, however no real plans were laid out in the recent reveal.

The lack of discussions regarding the UK’s housing crisis could hit private renters hard. The increased stamp duty will hit Buy-to-let landlords, which could undermine the growth within the private rented sector.

While the details are not clear, Osborne's budget said the government will work with local councils to identify where they can be given more ‘planning freedoms’ to enable thousands of new homes to be built. There is also financial support on offer for local councils that commit to building new settlements on the outskirts of towns and cities, called ‘garden villages’  of between 1,500 and 10,000 homes.

Stamp Duty

The three per cent hike in stamp duty to be paid by landlords caused concerns about a possible rise in rent across the PRS and in turn, affect people’s ability to save for a deposit.  

Posted by on 21 March 2016

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