Government's funding for homes under fire

The government has come under fire over its proposals to kickstart the housing market, announced in the Commons yesterday.

Housing minister Caroline Flint stated that £200 million would be available to buy new homes, but critics warned that this would barely be enough to buy 1,000 properties.

Ross Bowen of Connells told the Financial Times, “This £200 million is a drop in the ocean…this announcement is a paltry attempt to draw attention away from the glaringly obvious fundamental problems in the housing market.”

The new measures have come at a time when the Home Builders Federation have called for the government to temporarily abolish stamp duty on transactions up to £1 million along with a permanent rise in the 1% stamp duty threshold to £250,000 reported the Financial Times.