Get involved: send your pictures, video, news and views by texting TANEWS to 80360, or email
'NewBuy' housing scheme helps just 16 families
11:00am Tuesday 10th September 2013 in News
Only 16 Bradford families have bought a new home through a Government help scheme – sparking claims it has flopped.
The ‘NewBuy’ initiative is aimed at people struggling to get on the housing ladder, allowing a deposit of just five per cent, on new-build properties.
But new figures reveal it has delivered only 16 mortgages in Bradford in the first 15 months of the scheme, through to June this year.
Across England, 3,749 NewBuy mortgages have been signed – a fraction of the 100,000 promised by David Cameron when the scheme was launched.
Gerry Sutcliffe, Labour MP for Bradford South, said: “This scheme was a flagship policy of the Coalition and, like many others, has failed people in Bradford.
“It is time for less of the glossy rhetoric and for schemes that work and which we need to help people find homes.”
But the Government insisted NewBuy was just one of several schemes that were getting the housing market “clearly moving again” and fulfilling the dream of home ownership.
They included the new ‘Help to Buy’ scheme, which will eventually underwrite £130bn of home loans on new and existing properties.
It is the first time that detailed figures, revealing the performance of NewBuy in each area of the country, have been released by the Government.
The remaining five are in the Shipley postcode of BD18.
The scheme has also offered part-exchange – allowing a builder to buy an existing property, when it sells a homeowner a newly-built property. Much bigger ‘Help to Buy’ will, from next year, extend help to all homes – rather than just new-builds.
In Bradford, where the typical flat costs about £100,000, a buyer would be required to find £5,000 – instead of up to £26,000, as currently demanded.
Housing Minister Mark Prisk said: “The housing market is clearly moving again, through the range of government-backed schemes on offer.
That includes the industry-led NewBuy scheme, which today’s figures show has helped 3,749 people buy with a fraction of the deposit they would normally require.”
Comments are closed on this article.