Legal & General has called for tax-based incentives to help older borrowers downsize in next week’s Budget.
Legal & General has called for tax-based incentives to help older borrowers downsize in next week’s Budget.
L&G also reiterated the need for a ‘housebuilding revolution’ to increase the supply of UK homes.
Jeremy Duncombe (pictured), director of L&G Mortgage Club, said: “We need to see positive change if we are to combat the ongoing housing crisis.
“One way to achieve this goal is to introduce tax relief based incentives to encourage older borrowers to rightsize.
“This will help free up a significant amount of housing stock and benefit potential buyers looking to either move up the housing ladder or purchase their first home.
“At the same time, it is imperative that housebuilding remains at the top of the government’s agenda. A ‘housebuilding revolution’ is needed if we are to resolve the imbalance of supply and demand in the UK property market.”
He added: “We remain hopeful that the government will refrain from further intervention in the buy-to-let sector.
“The full impact of the announcements made in the Summer Budget and Autumn Statement are not yet clear, so it is too early to say whether they have had the desired effect on the housing market.
“Further involvement at this stage could therefore derail the important market changes that the Chancellor was seeking.”
