There were 728,540 bonuses paid through the Help to Buy: ISA scheme to the end of March 2023, which supported over 558,176 property completions, data from HM Treasury has revealed.
The Help to Buy scheme was launched on the 1st of December 2015, and enabled people saving for their first home to receive a 25% boost to their savings from the Government when they purchased a property of £250,000 or less, with a higher price limit of £450,000 in London.
For every £200 saved, first-time buyers received a Government bonus of £50. The maximum bonus was £3,000.
There were 728,540 bonuses paid through the scheme to the end of March 2023, and the total value was £886.64m, used to finance properties worth £99bn in total.
The mean value of a property completion supported by the scheme was £177,372, compared to the average first-time buyer price of £236,682.
65% of first-time buyers supported by the scheme were between the ages of 25 to 34.
The median age of a first-time buyer in the scheme was 28 compared to a median first-time buyer age across the market of 30 in the same period.
73% of bonuses paid were in England, supporting approximately 72% of total property completions through the scheme.
At a regional level, property completions were distributed fairly evenly across England.
London and the South East accounted for 14% of total bonuses paid and made up 14% of total property completions.
A higher number of property completions were supported by the scheme in the North West and Yorkshire and The Humber, while there has been a proportionally lower number of completions supported by the scheme in the North East of England, Northern Ireland and Wales.
Karen Noye, mortgage expert at Quilter, said: “The impact of the Help to Buy equity loan and ISA schemes is beginning to waver as the offerings near their end, and the various scheme price caps coupled with still high house prices and rising interest rates appear to be having a significant impact on completions.
“The Help to Buy ISA scheme, which is now closed to new applicants, offers a generous 25% government bonus to first time buyer.
“However, this bonus is only available if used on properties costing £250,000 or under, or £450,000 in London. Given the dramatic rise in house prices in recent years, coupled with the fact that they have not yet fallen in the way many had expected, first time buyers will have been left with far fewer options.
“Despite the average house price now sitting at £285,009 and the average first time buyer house price reaching £236,682, the mean value of a Help to Buy purchase price remains at just £177,372.”
She added: “The current cost-of-living pressures are having a real impact on the property market and the frustrations of prospective first time buyers are still widely felt.
“High house prices and rising interest rates mean taking a first step onto the property ladder has been pushed out of reach for many, and we can expect this to continue to reduce the completion rate of the schemes.”