At the heart of the Government’s new housing strategy (published in the document ‘Laying the Foundations: A Housing Strategy for England’) is a mortgage indemnity scheme which will enable lenders to provide mortgages of up to 95% of the value of newly built homes, supported by government guarantees. A typical first time buyer will be expected to have a deposit of around £10,000.
I asked Housing Minister Grant Shapps MP whether he would accept that, in an area such as Lewisham, which has below-average levels of income, a lot of unemployment and very high house prices, finding a deposit of £10,000 is absolutely impossible. I also asked him to clarify what time frame would he put on housing the 17,000-plus families currently on the borough’s housing list into affordable and decent homes.
I asked Housing Minister Grant Shapps MP whether he would accept that, in an area such as Lewisham, which has below-average levels of income, a lot of unemployment and very high house prices, finding a deposit of £10,000 is absolutely impossible. I also asked him to clarify what time frame would he put on housing the 17,000-plus families currently on the borough’s housing list into affordable and decent homes.
Mr Shapps expressed sympathy for my constituents, but could only respond by saying that the average deposit needed for a London property would be around £15,000, much lower than the current average of £60,000. Whilst this may be true, it remains an insurmountable amount of money for many families and individuals who have already been hit hard by Government cuts.
My advice surgeries are full of desperate people who will never have a chance to purchase a house, but are hard-working rent payers. They are frequently severely overcrowded and in need of better accommodation. Building to rent is the only answer in London, yet the Government has forced housing associations to cut their plans to build affordable homes.
My question and Mr Shapps’ response can be read in full in the House of Commons Hansard here.
My advice surgeries are full of desperate people who will never have a chance to purchase a house, but are hard-working rent payers. They are frequently severely overcrowded and in need of better accommodation. Building to rent is the only answer in London, yet the Government has forced housing associations to cut their plans to build affordable homes.
My question and Mr Shapps’ response can be read in full in the House of Commons Hansard here.
RSS Feed