Housing Kick Start

Housing was the central theme of Andy Burnham’s speech and Angela Rayner’s policy announcements surrounding this year’s Labour Party Conference. With a clear focus on increasing home ownership, accelerating housing delivery and continuing long-awaited reform of the leasehold sector.

For conveyancing lawyers and their clients, many of the proposals are encouraging and suggest a government keen to address some of the barriers that have prevented people, particularly younger buyers, from getting onto the property ladder.

Your First Home

One of the biggest announcements was the proposed Your First Home scheme.

Under the plans, eligible first-time buyers purchasing a new-build property could obtain a Government equity loan of up to 20%, with a 2.5% deposit and an initial interest-free period.

The scheme is aimed at buyers who can afford mortgage repayments but are struggling to save a substantial deposit, particularly those who cannot rely on financial help from family.

Over recent years, rising rents and affordability pressures have made saving for a deposit difficult. A scheme targeted at genuine first-time buyers could help more people onto the property ladder while also increasing demand for new-build homes.

The proposals could also give housebuilders greater confidence to deliver new homes. For conveyancers working in the new-build sector, a healthy supply of homes means greater choice for purchasers and could help ease pressure on housing availability.

The Government has also linked housing delivery with wider economic growth, highlighting the importance of access to housing alongside employment opportunities.

Leasehold reform

The conference also reinforced Labour’s commitment to leasehold reform.

While many details are still developing, the continued focus on a fairer ownership structure will be of interest to conveyancers and homeowners. Leasehold ownership has long been criticised for its complexity, escalating costs and the difficulties faced by leaseholders seeking to extend leases or acquire their freeholds.

Measures designed to simplify ownership structures, improve transparency and strengthen consumer rights could make the homebuying process more straightforward and give purchasers greater certainty.

This is particularly relevant for first-time buyers, who may find leasehold arrangements difficult to navigate.

Bringing empty homes back into use

Another proposal would strengthen local authorities’ powers to take action in relation to long-term empty and derelict properties.

Bringing vacant homes back into use could increase housing supply without requiring significant additional development on greenfield sites.

Regulating property agents

Angela Rayner has also announced proposals for greater regulation of property agents, covering estate agents, letting agents and property management agents.

The proposed reforms include mandatory licensing, meaning property agents would need to hold a licence and have appropriate qualifications to operate, alongside new Codes of Practice setting out standards that agents must follow.

Under the proposals, a regulator would have the power to revoke licences where agents breach the required standards.

What does this mean for the housing market?

From a conveyancing perspective, the overall direction of the proposals could have a significant impact on buyers, homeowners, developers and property professionals.

Support for first-time buyers, measures to stimulate housebuilding, action on empty properties and continued leasehold reform all form part of a wider approach to housing.

Many of the proposals will require further legislation and detailed implementation. The next stage will be watching how these plans develop and what they mean in practice for people buying, selling and owning property.

This article was written by Theresa Coutts, Senior Associate in Phillips Law’s Basingstoke Residential Property team.

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