First-time buyer scheme branded a failure

The Liberal Democrats have criticised a government scheme to help first-time buyers to get on the housing ladder, arguing it has been a major failure.

Despite receiving £100 million in funding, the First-Time Buyers Initiative only helped bring about 451 completed purchases between its introduction in April 2006 and October 2007, the party said, reports Firstrung.

Communities and Local Government spokesperson Julia Goldsworthy stated: "The HomeBuy scheme has failed."

She added: "We should be building far more homes for first-time buyers and ensuring they remain affordable for future generations."

Those concerned at the difficulty experienced by first-time buyers may consider using the self build option to get on the housing ladder.

News of the Liberal Democrat comments comes just days before the budget.

Many organisations and political parties have urged chancellor Alistair Darling to offer help to first-time buyers by making changes to stamp duty such as raising the one per cent threshold.

However, Reuters reported this week that government finances may be too tight to permit any tax cuts at present.


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