H2B has “had minimal impact”
Speaking at the HSBC Great Housing Debate in Westminster earlier today Dockar said Help to Buy had been the catalyst for the return of 95% LTV products to market.
But Dockar was sceptical of the schemes benefit to the South East and London in particular.
He said: “In regards to London I am doubtful that it has had any significant impact. The schemes presence in London is virtually non-existent.”
Nigel Terrington, chief executive, Paragon Group, similarly dismissed Help to Buy for having a minimal impact on the market.
He said: “The problem of Help to Buy is that it does not address the fundamental issue for lenders.
“Banks and lenders have a wealth of cash; the central problem is that capital requirement levels are too high.”
He criticised the government for failing to address this fundamental issue, labelling the scheme a “sticky plaster”, used to cover up an unresolved problem.
The audience were undecided on the effectiveness of Help 2 Buy, with a 50/50 split on whether the scheme’s withdrawal would have any meaningful repercussions for market growth.