Vince Cable warns against Help to Buy
The Business Secretary this week warned that the Government’s help-to-buy scheme needed more careful consideration.
He told Sky News “we don’t want a new housing bubble” and expressed concerns that in some areas of the country, for example London and the South East, that there are already “serious housing inflationary pressures”.
Mr Cable said: "We should certainly think about how it should come into effect, indeed whether it should come into effect in the light of changing market conditions.”
He cited warnings from experts including from the Royal Institute of Chartered Surveyors about the risks involved in the scheme.
The remarks may have been embarrassing for the government as they came just days after Chancellor George Osborne was positive about the scheme. He defended the controversial 95% mortgages, which Help to Buy allows, as a healthy part of the market and not “weapons of financial mass destruction”.
What do you think? Are you concerned about the possible impact of Help to Buy?