Natalie Elphicke is a non-executive director of a leading building society and a published policy writer on housing and housing finance with Policy Exchange and the Centre for Policy Studies. She was the first national director of the new Conservative Policy Forum.
Savings can support housebuilding and boost growth. Ahead of this budget, the CBI and the building societies association have been looking at ways in which savings could be put to work to build more homes and help first time buyers through a housing deposit ISA and a housing ISA. A housing deposit ISA would help first time buyers who are saving for a deposit for their first home. A housing ISA would help savers and build more homes.
The housing ISA proposal to build more homes is simple. There would be a higher threshold than for a current cash ISA. Funding for Lending is targeted to expand mortgages. The government housebuilding guarantee programme assists larger developers and housing associations. The proceeds for the housing ISA would be targeted at self-build, small and medium sized developers, smaller housing associations, and community building projects, such as community land trusts.