The government has acknowledged that most Britons will not be able to use Boris Johnson’s “bricks for profit” scheme to allow welfare payments to secure hostages.
Earlier this month, the prime minister announced a plan to enable people who are in work but also on housing benefits, to access welfare payments for a mortgage, automatically directly to private individuals. Instead of going to landlords and housing associations.
However, critics have pointed out that welfare regulations reduce the amount of Universal Credit when the claimant’s savings exceed £6,000, and stop entirely when savings exceed £16,000, An amount that would not go far in reducing deposits in many parts of the country. UK.
The Department for Work and Pensions acknowledged that “it is likely that it will not be in a position to take up the new policy.”
The department made the remarks in response to a written parliamentary question from the shadow secretary on leveling Lisa Nandy.
Nandy said: “Homeownership rates have declined under conservatives. Now we learn that even Boris Johnson’s own government doesn’t think his plan to fix it will work.
“We need more ambition if we want to solve the housing crisis and give families the security of owning their own homes. This is why Labor has had to change the definition of ‘affordable,’ to build more affordable homes. There are plans to link to local wages and give first-time buyers first-hand information on new developments.
The announcement of Johnson’s plan, as part of a wider home-buying shake-up, came after a fierce Tory rebellion against his leadership, in which 148 of his own lawmakers voted against him in a trust vote.
He also set out the expansion of the Right to Buy scheme, which has made home ownership a reality for two million homes for housing association tenants in England since the 1980s.
But Labor said the Leveling Up department declined to confirm whether an impact assessment had been carried out before Mr Johnson’s announcement, or a review of the expansion’s impact on social housing’s stock.
A government spokesperson said: “We want to make home ownership a reality for more people, by removing barriers and turning profits into bricks. How much people choose to save depends on their circumstances. There is a real aspiration for many and this policy supports it.
“The scheme is about opening the door for the lowest-income people to make their own choices about future home ownership plans. In a comprehensive package, the Housing Association’s expansion of tenants’ right to buy expands this popular policy to two and a half million more people. ,
Source: www.cityam.com
