FAQs: First Homes Fund

Scotland’s First Minister John Swinney has pledged £10,000 grants to help first-time buyers onto the housing ladder if the SNP is re-elected on 7 May. While the move signals recognition of affordability pressures, Propertymark believes broader action is still required to address the root causes of the country’s housing crisis.

The Financial Conduct Authority (FCA) has confirmed a wide-ranging review of mortgage rules to support sustainable home ownership while ensuring standards of consumer protection remain high. The reform signals positive change on the horizon for first- and last-time buyers, self-employed people, and vulnerable customers, who may have experienced limited access to borrowing under the current rules.

The Housing, Communities and Local Government Committee has launched an inquiry into how schemes such as Stamp Duty relief, ISAs, mortgage guarantees, and rent payment history in mortgage decisions affect first-time buyers. It will also consider the effectiveness of Lifetime ISAs, 95% mortgages, Shared Ownership, and the impact of the Renters’ Rights Bill and the Leasehold and Commonhold Reform Bill.

The UK’s first female Chancellor of the Exchequer, Rachel Reeves, MP, delivered the first Labour Budget for 14 years on 30 October 2024, announcing tax increases worth £40 billion. Whilst agents will be relieved not to see a hike in Capital Gains rates, it is disappointing that the reversal of Section 24 and support for property owners to meet Minimum Energy Efficiency Standards have been overlooked. It is also a missed opportunity to give structured support to first-time buyers and downsizers to boost consumer confidence.