Will the housing market change after the election?
With pre-election manifesto’s luring in the voters with promises of more spending on health, education, lower taxes and a clear and stable path through Brexit, what can we expect to see from each party in relation to housing?
The Budget, earlier this year left many underwhelmed in this respect and although the Midlands is still seeing house price growth and has remained largely unaffected by the usual pre-election slowdown, buyers and sellers are keen to understand what changes may come into effect once the results are in.
Each of the party manifestoes include policies relating to housing, with most promising to build more new housing to ease the shortages currently faced by buyers. The key points from each of the three main parties are outlined below;
The Conservative Manifesto
- A promise to deliver a million homes by the end of 2020
- Half a million more home built by the end of 2022
- The quality of new homes being built will be improved
- Support for building high-density housing such as terraced streets and mews houses
- 160,000 homes will be built on government land
- Protected areas such as the Green Belt, National Parks and Areas of Outstanding Natural Beauty will remain securely protected
The Labour Manifesto
- Pledge to build one million new homes, including 100,000 council and associated homes, by the end of next parliament
- Possible rent reforms
- Building 4,000 homes for those with a history of “rough sleeping”
The Liberal Democrats Manifesto
- A proposed Housing Investment Bank to generate funding for new homes
- Plans to reinstate housing benefit for 18-21 year olds
- Outline plans for a new scheme allowing rent payment to accumulate like a mortgage
The messages from all the parties is clear, that more provision needs to be made for new housing to be built and that for most, some reform to social housing and the rental market will need to be made.
With no changes to taxation or stamp duty to come into effect and most of the major parties in agreement to push forward with Brexit, the housing market which typically stagnates around election time might see some further movement as nervous sellers and buyers are encouraged by the broadly similar pledges from each party in relation to housing and all promising to focus on a stable Britain in the wake of Brexit.