New Housing Strategy “a Small Step in Right Direction”, Says CPA

The government’s housing strategy will make some headway in addressing the massive shortfall in levels of new housing according to the Construction Products Association. The strategy, published today, includes measures to help first time buyers get on the housing ladder through a government mortgage indemnity scheme, which is something that the Association has been calling for.

Noble Francis, Economics Director at the Construction Products Association, said: ‘The mortgage indemnity scheme is certainly the main highlight of today’s housing strategy. However other key announcements, including the £400 million Get Britain Building pot for stalled building sites, lack detail as it is unclear where this funding will be coming from and how it will be implemented. The proposals surrounding the Right to Buy scheme are interesting but unfortunately are not likely to have an impact in the short to medium term as the government has made clear its intention to consult before moving forward. At present government itself estimates that more than 260,000 households will be created each year over the next two decades yet housing supply remains at less than half this figure. Although the measures announced today are a welcome attempt at addressing the failing housing market, much more needs to be done.’