Chancellor Rachel Reeves is set to give her Spring Statement on 26 March.
Although the government has said there will not be any major announcements relating to the housing market, industry figures have made their case for what they want to see.
Melanie Spencer, Target Group’s sales and growth lead, thinks that, with inflation on the rise, growth flatlining, and geo-international tensions rising, “the Spring Statement may have to become a mini Budget”.
In that case, what do the mortgage industry’s thought leaders want to see?
Nick Jones, mortgage sales and marketing director at Access Financial Services, thinks the statement offers an opportunity to introduce targeted measures to boost the economy, including “incentives for small businesses, such as expanding reliefs or adjusting the planned increase in employers’ National Insurance contributions, which would reassure labour-intensive industries like retail and hospitality.”
Matt Harrison, commercial director at Finova Broker, is concerned impending changes to stamp duty will lead to “a surge in transactions followed by a slowdown, putting undue pressure on buyers and industry professionals alike.”
Going digital
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He wants the Chancellor to consider policies to “promote steady, long-term growth in the housing sector” alongside support for first-time buyers.
“Lenders battling it out with lower rates cannot be the main ones stimulating the market – it must come from the government,” he added.
Delivering much-needed homes
Martyn Smith, managing director of Black & White, echoes Harrison’s sentiments, saying: “Residential building has contracted for five straight months and new home delivery is collapsing. Over the last year, Black & White has funded 1,000 new homes through short-term finance, helping developers build, refurbish, and repurpose properties. We’ve done our bit, but it shouldn’t be down to lenders alone.
“Tweaking planning laws isn’t enough either. The UK is short over four million homes; housebuilders don’t just need permission – they need the confidence to build.”
He wants the government to tackle material and labour shortages and improve access to funding.
Adam Oldfield, chief executive of Phoebus, is more bullish on planning reform.
“While Labour has made a lot of promises aimed at boosting housebuilding, execution remains a challenge. Streamlining planning processes, providing greater funding for SME developers, and revisiting stamp duty reforms could all play a role in creating a more fluid and accessible market,” he said.
Better implementation of technology
Mortgage valuation guru Richard Sexton, the new commercial director of surveying portal HouzeCheck, wants to see more investment in artificial intelligence (AI) training and digital skills.
“If AI skills were more readily available, it would help the surveying profession leverage tech to improve efficiency and decision-making in residential valuation,” he added.
“We’re already starting to use tech to prompt valuers as they are surveying a property and to ensure they report accurately and consistently. With more access to AI, we could accelerate the profession’s adoption of tech, surpassing the use of AI to provide humans with tech guard rails. The surveying industry is not unique in requiring more people with digital skills – if Reeves is serious about chasing growth, she should start with boosting the country’s AI skills,” he said.
Maria Harris, chair of the Open Property Data Association (OPDA), is also thinking digitally but is calling for dedicated funding to support government departments and local authorities in digitising property data at source.
“A more transparent and efficient system will reduce transaction times, cut costs, and provide greater certainty for buyers, sellers, and industry professionals,” she said.
Oldfield agrees on the importance of improving the efficiency of property transactions, saying: “Investing in digital infrastructure could help reduce delays and create a more seamless experience for buyers.”
Supporting aspirational buyers
Melanie Spencer wants to see changes made to the Lifetime ISA.
She said: “Tweaks around the early withdrawal charge, age restrictions and the maximum property price would make the product fit for purpose. We need measures like this and tailored support to increase homeownership.”
Tony Hall, head of business development at Saffron for Intermediaries, said he understood the economic pressures the government faced, but wanted the Chancellor to “look beyond immediate challenges and focus on long-term solutions”.
He suggested extending stamp duty concessions to support the estimated 75,000 homebuyers at risk of missing out and facing higher tax bills.
Hall recommended improving affordability by increasing the loan-to-income (LTI) limit or scrapping the cap altogether to allow lenders to set their own boundaries, “so long as they can demonstrate they are lending responsibly”.
“Additionally,” he added, “greater recognition of rental payment history as evidence of affordability would help more buyers get on the ladder”.
Another request Hall made was to expand housing stock, saying this was a “key barrier” for buyers.
He said: “Developers face a number of significant challenges from inconsistent planning rules to labour shortages. One change that could make a lot of difference would be standardising planning processes across local councils to remove inconsistency between boundaries. Meanwhile, putting schemes in place to encourage more young people into trades would strengthen the workforce and support the delivery of the government’s 1.5 million homes target.
“While we appreciate the economic backdrop, a lack of meaningful housing policy could further dent market confidence – a risky move given the property sector’s crucial role in driving economic growth.”
All eyes on the Spring Statement
With inflation rising, residential construction faltering, and global uncertainties looming, industry leaders are calling for the Chancellor to take bold, practical measures; piecemeal tweaks won’t cut it.
Now the clock is ticking — and the industry is watching.
