Housing sector to receive £44bn boost

The government has pledged some £44bn worth of funding and loans to the housing sector in this afternoon’s Budget.

Chancellor Philip Hammond said the money would comes from a mixture of capital funding, loans and guarantees.

There will also be new money for the Home Builders Fund to get SME housebuilders building again, said Hammond, while revealing one million new homes will be built on the Cambridge-Milton Keynes-Oxford corridor.

To a noisy reception, Hammond also announced that Stamp Duty would be abolished for all first-time buyer purchases up to £300,000.

Richard Whitelock, Head of Private Clients at Garbutt + Elliott, said:  “I absolutely think that this is needed. What I am finding is that the rental sector is becoming more expensive with recent tax changes for landlords. Rents have gone up –  the solution has to be to build more houses and drive prices down.

“This is big news for first time buyers. The Budget also confirmed changes will be made to the 3% SDLT surcharge rules, to remove unintended unfairness that can occur in certain cases. This includes divorce cases and parents property on behalf of their children.”