The government do not have enough money in their coffers to fully solve the housing crisis, director of TMA mortgage club director David Copland has warned.
His comments come on the eve of the Autumn Statement which will be the first under Theresa May’s government and despite government plans to build a million new homes by 2020.
He said:“The housing crisis is an issue that can be resolved, but certainly not quickly. It seems that everyone knows that there is a problem; yet can’t do anything about it”.
Civitas, a social housing investment trust, recently announced its plans to raise £250m to fund new homes making it the first of its kind to float on the London Stock Exchange.
Copland argues that although positive, this is a small step in what has become a marathon. “Large firms need incentives to invest in housing. Civitas’ recent flotation on the stock exchange is a positive step in the right direction, but we need to encourage more to follow suit.”
First-time buyers are the ones that are hit the hardest according to Copland, who argues that changes to the current market are vital for prospective homeowners. “If the government continue to tax middle England, who is going to fill the gap in the market?
“First-time buyers are increasingly priced out of the market and, without the private landlords, who will provide the housing for these people to live?”