Govt plans housing shake-up

Posted: 10 Jul 2007 10:41:27 GMT

The government plans to bring in new measures to make it easier for first-time buyers (FTBs) to get onto the property ladder.

The government plans to bring in new measures to make it easier for first-time buyers (FTBs) to get onto the property ladder.

A lack of buyers makes it difficult for homeowners to sell their property and the chancellor of the exchequer, Alistair Darling, says that change is needed or the country will face an economic crisis.

Speaking to the Guardian, Mr Darling said that he wanted to boost the supply of long-term fixed-rate mortgages.

"It [housing] is a huge issue and it is not just being raised by people setting up homes themselves," he said.

"Parents and grand-parents are saying, 'What's going to happen to my children? How are they going to get a house?'"

Mr Darling also revealed that he wants to open up the market by building more houses, something that is likely to lead to a downturn in property value in the future.

"There simply aren't enough houses. We are not keeping pace with the number of people setting up homes," he said.

"It's been a problem for the south-east of England, but it is now a problem for the whole country."

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