Posted 19.03.14
George Osborne's Budget speech included the following on housing:
"Mr Deputy Speaker, our country needs to export more - and it also needs to build more. House building is up 23%. But that's not enough. That's why we're making further reforms to our planning system and offering half a billion pounds of finance to small house building firms.
"It's why we're signing city deals across the country to get more built - with a new funding deal this week for Cambridge. And it's why we're giving people a new Right to Build their own homes and providing £150 million of finance today to support that.
"It's why we're funding regeneration of some of the urban housing estates that are in the worst condition, and we're extending the current Support for Mortgage Interest Scheme to 2016.
"And it's why we've got Help to Buy. We're extending the Help to Buy equity loan scheme for the rest of the decade, so we get 120,000 new homes built.
In the South East where the pressure is greatest we're going to build new homes in Barking Riverside, regenerate Brent Cross, and build the first new Garden City in almost a hundred years at Ebbsfleet.
We're going to build 15,000 homes there, put in the infrastructure, set up the development corporation and make it happen.
"I thank my Honourable Friends for Dartford and Gravesham for their tremendous support. And we will be publishing a prospectus on the future of Garden Cities.
"Taken all together, the housing policies I announce today will support over 200,000 new homes for families. We're getting Britain building."
Posted 05.13.14
A VAT reduction on housing renovation and repair could boost the UK economy by more than £15 billion from 2015 to 2020, according to a new independent research report by Experian.
This reduction could also create more than 95,000 jobs and save 240,000 tonnes of CO2 from thousands of homes.
The report is backed by more than 60 charities, trade associations, business groups and financial institutions that are united in calling on all three main political parties to commit to this VAT reduction in their 2015 General Election manifestos.
Brian Berry, Chief Executive of the Federation of Master Builders said:
"A VAT reduction on housing renovation and repair work will empower home owners to contribute to growth, jobs and greener homes without placing a burden on the Treasury. There is no other proposal that will help the UK achieve so many of its economic, environmental and social aims with so little cost to the public purse.
"It is a myth that EU law prevents the UK government from reducing VAT on housing renovation and repair. This research report clearly shows that almost half of EU member states are currently enjoying the economic, environmental and social benefits that this VAT reduction can bring. Why should the UK not follow suit?"
Nigel Rees, Chief Executive of the Glass and Glazing Federation, said:
"We are impressed with this research report and urge the Government to now take the necessary action.
"As the report shows, reducing VAT from 20% to 5% on housing renovation and repair has significant long terms gains, not only for economic growth and job creation, but also for carbon reduction, as many contemporary home improvements will include the installation of energy efficient products."
Ray Horwood, Chief Executive of the National Federation of Roofing Contractors, said:
"There are a range of complementary reasons for this sensible reduction in VAT on housing renovation and repair that play to government objectives and overall consumer expectations.
"The strong leadership message this sends to all political parties would, in addition, be a boost and clear message of support to the responsible and qualified SME firms that will undertake this work."
Mike Brown, Chair of the Institute of Historic Building Conservation, said:
"The care and maintenance of our heritage buildings is often crafts-based and, as such, labour intensive, so a reduction in VAT will help support those skills and thousands of jobs across the sector.
"The case for the reduction in VAT is particularly important in making the difference between a historic building being saved or being unviable.
"On top of that, more affordable day to day care and maintenance would help save countless older buildings from the destructive and costly cycle of decay and restoration, allowing diminishing resource to be directed towards delivering better informed energy conservation measures, compatible with the fabric of the building."
The Experian's research report An estimate of the effects of a reduction in the rate of VAT on housing renovation and repair work: 2015 to 2020 can be accessed in full via this link.
