Home National housing Liz Truss pledges to help more renters buy their first home | Conservative management

Liz Truss pledges to help more renters buy their first home | Conservative management

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Liz Truss has pledged to help millions of renters buy their first home by making it easier for them to prove they’re ready for a mortgage, but said she plans to scrap national building targets of accommodation.

The Tory leadership favorite has pledged to ‘break down barriers’ to support those who want to climb the housing ladder.

A day after outcry over rival Rishi Sunak’s plan to block the construction of new residential properties in the green belt, which experts said would only exacerbate the housing crisis, Truss risked drawing criticism similar saying that she wanted to abandon “the housing imposed by Whitehall from the top down”. targets”.

Official statistics show that more than half of current tenants could afford a mortgage, but only 6% are able to access a typical first-time buyer mortgage as most lenders do not take an applicant’s ability to pay a certain amount of rent as proof that they can afford to pay a higher mortgage.

Truss said that to help the “annuitant generation,” an upcoming review of the system would allow rent payments to be used as part of assessing the affordability of a mortgage.

The government has pledged to build 300,000 new homes by the mid-2020s, but Truss wants to “rip the bureaucracy that is holding back housing construction” by pushing back the target.

Instead, councils will be able to choose how many new homes their communities should build, his team said. But a Truss administration would “work with local communities to identify sites ripe for redevelopment and reduce planning restrictions — turbocharge commercial and residential development.”

The MP for South West Norfolk said: ‘As a former councillor, I remember those painful hours in front of planning committees. I will put power back in the hands of local councilors who know far better than Whitehall what their communities want. »

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Union sources pointed to the party’s own analysis of England Housing Survey data, which suggested 211,000 fewer people of working age were homeowners in 2020-21 than in 2009-10. Over the same period, private rental rates have soared, the Labor Party said.

It came after the Greater London Authority (GLA) warned developers in three boroughs that housing construction in parts of the capital’s west could be delayed due to a capacity shortage in the electricity grid.

A spokesman for one of the councils, Ealing, said that ‘in the midst of an affordable housing crisis… it is essential that we can continue to build new, genuinely affordable rental accommodation’.