UK housing minister urges more builders to join Help to Buy scheme

Builders in the UK are being urged to join the government’s flagship Help to Buy scheme aimed at boosting construction of new homes and stimulate growth in the property market.

Housing minister Kris Hopkins announced that over 900 developers across the country will be at the forefront of getting Britain building in direct response to demand for Help to Buy.

Visiting a new housing development in Yorkshire, Hopkins was able to see first hand how the Help to Buy was not just helping more families into homes but also boosting building and stimulating wider growth as well as creating jobs and helping local business.

He said that with over 15,000 reservations for new build homes since the launch of the Help to Buy equity loan six months ago, builders everywhere have been rising to the challenge and delivering homes the country needs.

He pointed out that it is not just large developers. Of the 900 builders planning to offer the Help to Buy equity loan scheme over 80% are smaller builders, building less than 40 homes.

This includes the Brockholes development which the government unlocked with a £1.1 million commercial loan through the Get Britain Building programme, and has built 18 new homes in the Kirklees area.

On site the minister met the contractors and workers that had been able to get back on with their job of building homes as a result of the site being kick-started back into action by government funding.

In addition to the Help to Buy, house building in Kirklees has been stimulated as a result of £6.9 million government investment which is set to deliver 362 new affordable homes.

‘It’s great to see how the government’s work to boost house building is making a nationwide impact and giving confidence to this beautiful part of the country. The Help to Buy equity loan scheme is, not just helping thousands of buyers onto the property ladder but is making an important contribution to people’s lives creating jobs, boosting local business and stimulating the economy,’ Hopkins said.

‘It is essential that places like Yorkshire are not just hanging on others’ coat tails but at the forefront, helping to lead the charge from a local level. The Brockholes development is doing just that. I want to see this echoed across the country and with more small builders signing up I am confident that this can happen,’ he added.

He also pointed out that a further boost to house building is being delivered thorough the £12 billion Help to Buy mortgage guarantee. He explained that the scheme is creating greater market confidence and offering another avenue of opportunity for aspiring homeowners frozen out of the market.

Under the scheme, buyers will only need a deposit of as little as 5% and depending on the size of deposit, the government will then guarantee up to 15% of the property’s value.