The UK government awarded hard-working medical staff a
meagre 1% pay rise in the most recent budget, all the while splashing out on
yet another indirect subsidy for house prices: the mortgage guarantee.
This year, the UK government must come up with solutions to the main crises that eat away at some ordinary Britons’ well-being. One of these is the housing crisis, which continues unabated despite the billions of pounds thrown at the problem.
Ahead of the Chancellor’s Budget set to be published on March 16, there is a lot of speculation that he may announce other measures to cool down the buy-to-let property market. I don’t think he will need to: the market will cool down pretty rapidly once the regulatory changes that are coming for banks are understood by buyers. Admittedly, that will take a while. This article is for those who want to stay ahead of the game.
Everyone agrees that housing is a key multiplier to a nation’s economic growth agenda, given its linkages with numerous ancillary industries. Affordable housing is crucial for a robust property market.
But the experience of countries, especially developing ones like India, shows housing development so far has largely targeted high/mid-income population.