The Help to Buy scheme came to end in England in October, but in Wales, the Welsh Government still sees it as a beneficial tool for delivering homes and have extended the scheme for a further two years.
Help to Buy Wales was initially launched in January 2014 and over the past eight years, 13,400 homes have been delivered through the scheme.
As well as delivering homes, the Welsh Government have also made use of the scheme to deliver further changes. For example, the second phase of the scheme saw the scrapping of leasehold houses, whilst phase three saw tighter quality requirements and the introduction of better broadband access for homes.
This new scheme will run from April 2023 – March 2025.
How will the new scheme differ from the existing scheme?
There will be a new price cap of £300,000, which reflects the spike in house prices over recent years. This is an uplift from the existing cap, which is £250,000.
Homes delivered through the scheme will also be required to reach a minimum standard of Energy Performance Certificate (EPC) of B. This aligns with the Welsh Government's ambition to make homes more energy efficient, which links to the wider UK goal of achieving net zero carbon emissions by 2050.
How has the FMB been involved in delivering the scheme?
We have been working alongside a small group of other organisations (namely the Home Builders Federation, UK Finance, and the Development Bank of Wales) to help advise the Welsh Government on developing a scheme that will help the house building industry to deliver and which is also viable.
Further information (including an FMB name check!) can be found in the announcement of the new scheme by the Minister for Climate Change, Julie James.
If you’re not a house builder, but interested in becoming one, check out this guide which is aimed at helping you better understanding how to start out as a small housing developer.
If you’re already a house builder and you’re interested in selling homes through the Help to Buy Wales scheme, get in touch for advice on registering for the scheme.