Budget announcement 'a bitter pill' claim Belvoir Sheffield

As the Government delivered its latest budget announcement, residential landlords UK wide were left with a bitter pill to swallow, as it emerged that the only part of the property market to benefit would be the construction industry.

Rick Flay, director at Belvoir Sheffield, the leading lettings agent in Sheffield snubbed the new scheme claiming that a new £250 million scheme called ‘Kickstart’ may on the surface seem like a step in the right direction, but in practice, only those searching for ‘new build’ homes would benefit.

Rick said: “For those looking to get one foot on the proverbial housing ladder, the new scheme will be of benefit, but for the property market overall, Kickstart will not hold any real benefit.

A first time Buyer, buying a new home, will not work to boost the broader market because their purchase doesn't facilitate another move. In effect it is a dead end.”

Earlier this week, Samantha Baden, Property Analyst at The Digital Property Group said: “The average price for a first time buyer home is £153,601, our figures show, so the Government’s £250m shot in the arm for Britain’s growing army of thwarted wannabe home owners will help an extra 16,275 of them onto the first rung of the property ladder.

Rick, from Belvoir who specialise in providing flats to rent in Sheffield, continued: “Although the latest announcement will provide further jobs for those within the construction industries, it is still not enough and is just a mildly larger version of the Labour government’s HomeBuy Direct scheme, which helped an extra 10,000 into home ownership.”

Despite failure to boost the private rented sector, Capital Gains Tax (CGT) was set to rise to 28 per-cent for higher rate taxpayers and the increase in the limit of life time gains qualifying for entrepreneurs' relief to £5m, which many property experts believed would be much worse.

Belvoir Lettings Sheffield is the One Stop Specialists for Lettings including Property Management, Tenant Find, Investment and Wealth Management Advice, Fit-outs and Renovations, Furniture Packs and Investment Property Insurances

For more information, please visit: belvoirlettings.com/sheffield