If you were hoping for assistance for the hard-pressed property sector from the budget then today's announcements will have left you feeling very disappointed.
The schemes such as they are consist of:
- a three month extension of the SDLT holiday for houses sold for £175,000 and under
- extra money for existing Government schemes to support first time buyers
- a scheme to kick-start stalled housing projects
With the price of an average house still falling every month by more than the potential SDLT saving, it's difficult to get excited about the first scheme.
The second scheme offers new money for existing projects that have so far helped no first time buyers whatsoever.
The third scheme offers to assist the construction of 'up to 10,000 new homes' - a tiny number in the context of the current shortfall as measured against the Government's home building target. The description in the full budget report of how the scheme will work leaves me in very little doubt that there will be almost no take up for this offering.
There was also a mention of a scheme to boost lending but as the Government's efforts in that respect have failed so spectacularly to date there's little reason to think that this scheme will fare any better.
If you are a property developer looking for some assistance then Cousins Business Law's guide to avoiding the traps is likely to be of more assistance than anything in today's Budget Report.
Steven Petty, Commercial Property Solicitor
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