Photograph by Diana Parkhouse
David Cameron will bring forward the launch of the Tories’ Help to Buy scheme, ignoring warnings that the plan will inflate the housing bubble.
The second stage of the scheme which allows people to acquire a property with just a 5% deposit will now begin next week, with the Tories claiming that the it will help young people with decent jobs but without “rich parents” to join the housing ladder.
The Tories have accepted that the rapidly increasing cost of living and especially housing needs to be addressed. However, rather than addressing the reasons for ever escalating property prices, they are propping up those rises with tax-payer backed mortgages, possibly causing another housing bubble according to Business Secretary Vince Cable.
The move is being announced alongside a tax break for married couples as part of the Conservative party conference in Manchester.
