The construction industry has welcomed plans to help 10,000 first-time buyers on the property ladders but wanted to see more stimulus for the home refurbishment sector.
Construction Products Association (CPA) chief executive Sir Michael Ankers welcomed the recognition in the chancellor’s Budget that construction will play a vital role in stimulating economic recovery in the government’s growth strategy.
This included the new £250m FirstBuy shared equity scheme for first-time buyers, an attempt to unblock the planning system, encouragement for sustainable development and opening up economic activity with the introduction of Enterprise Zones.
“However, there was disappointment that not enough has been done to stimulate housing refurbishment in advance of the Green Deal in 2012,” he said.
“By encouraging the planning process in favour of jobs and growth with a presumption in favour of sustainable development, will hopefully avoid unnecessary delays by local authorities and help stimulate economic activity.” He said the first-time buyer help, expected to help 10,000 people onto the property ladder was a very modest step and is unlikely to make much of a dent in the 100,000 shortfall of new build that this sector was facing.
The Federation of Master Builders said help for 10,000 first-time buyers was a welcome boost but doubted whether it would help the tens of thousands of small house builders struggling to survive in the current market.
“The budget failed to ignite the forthcoming Green Deal programme to retrofit the nation’s homes.
“No additional incentives such as a cut in VAT for energy-efficient repairs, stamp duty or council tax were announced to make Britain’s homes greener and more energy efficient,” it said.
It said the simplification to the planning system had been long overdue.
