Latest government proposals on housing-building were
revealed today and whilst, Labour have criticized the plans for not being “up
to the scale of the challenge”, I myself believe that they may provide the
spark required to ignite the stagnating housing market. Here are 3 reasons
why...
1)
More work for builders
By allowing for extensions of up to 6m long to be built
without planning permission (double the previous distance) more homeowners
should be convinced that building an extension will actually add significant value
to their home. This in theory would provide more business to builders,
plumbers, carpenters and the like where as a result they would be able to offer
more jobs and apprenterships to people as demand would require it. A reduction
in unemployment would then increase consumer confidence and help to lift the UK
out of the double dip recession.
2)
Reduced requirement for ‘affordable housing’
Is this the last we will see of this? |
3)
New Firstbuy scheme to help first time buyers
The Firstbuy scheme will allow 16,500 would be home-owners to
receive an equity loan of up to 20% of the purchase price. The aim of this
would be to stimulate the housing market where due to the current dire state of
the economy people are unable to afford a house. This means that at the current
time homes are either being rented by demanding landlords or left empty.
Therefore, by allowing more people to enter the market there will be more
competition for housing which David Cameron hopes will, “Kick start the economy”.
I personally feel that these schemes, whilst only a step are
a step in the right direction. By reducing enforcements on planning regulations
and affordable housing, more construction will be encouraged and as a result additional
jobs will be created. This can only be a positive and the Conservatives should
be applauded because of this.