Jeremy Leaf, a former residential chairman of the Royal Institution of Chartered Surveyors and a north London estate agent, has called on Chancellor Jeremy Hunt to focus on measures that will increase the supply of high-quality, energy-efficient homes to rent and buy in his upcoming Budget.
While many experts are predicting a “boring” Budget, Leaf believes that the Government must take action to encourage more aspiring first-time buyers to enter the market, in order to reduce the number of renters renewing their contracts and to release much-needed housing stock.
Leaf has called for landlords to be incentivized with nil-rate VAT to help them meet energy efficiency standards and retrofit their properties.
Additionally, he suggests the government re-introduce mortgage interest tax relief and adjust stamp duty thresholds to coincide with the Rental Reform Bill becoming law to encourage buy-to-let landlords to remain invested in the sector.
The former RICS residential chairman also called for planning restrictions to be eased, particularly for small- and medium-sized builders working on smaller sites, to increase delivery and improve first-time buyer accessibility.
Leaf suggests introducing a Help to Buy replacement for first-time buyers that is not regarded as ‘Help to Sell’ by developers would also be beneficial.
To make better use of existing accommodation, Leaf recommended higher penalties for leaving land or buildings empty and expediting the council tax revaluation.
This would ensure that everyone is paying their fair share, with higher charges for second homes used for holiday purposes, which would raise additional funds for the Government.
Leaf hopes that the Chancellor will take these measures into consideration and address the housing market’s issues in the upcoming Budget.
