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Conservative Government brings positive impact for the housing market

The election results sent shockwaves through the nation as the Conservatives secured a parliamentary majority. Many believe that the residential market and investors will benefit from continuity of power, but what will the Conservative housing policies mean for the market?

Conservative Government brings positive impact for the housing market

Housing was a key issue during the election campaign for all political parties, the Conservatives included some key points in their pre-election promises, these included, building 200,000 new homes for first-time buyers under 40 at a 20% discount and introducing the Help to Buy ISAs in the Budget.

They also promised investments into regenerating “industrial or brownfield” sites so that 400,000 new homes can be built and to introduce a new £175,000 per person transferable allowance in inheritance tax for main residences.

Trevor Abrahmsohn of London estate agent Glentree, reacted to the election results, he said:

“We now have in Britain one of the fastest growing economies plus very low inflation, envied by many other European countries. It’s a golden scenario.”

With property prices remaining fairly static leading into the election, the Conservative manifesto contains some interesting elements that should boost home ownership in the UK.

With measures like the Help to Buy schemes being extended and the Help to Buy ISAs being introduced in the Budget to help first-timers, as well as tax changes remaining intact the result seems good all round for the housing industry.

News of a Conservative majority has also ensured visible interest from overseas property investor’s surge, with prime estate agents reporting a jump in phone calls following the election result.

As Labour threatened to impose a Mansion Tax on properties over £2m if it secured a majority, investors were believed to be holding out on prime London purchases prior to the election.

Grainne Gilmore, head of UK residential research at Knight Frank, said:

News of a Conservative government had brought back certainty to the housing market.”

He continued:

“As a result of this increased certainty it stands to reason that people who were holding back because of worries about the election result can now go forward with any of their planned property investments or property purchases.”

Industry leaders have warned ministers to carefully assess what the country needs and to look to its future, they have said that good judgement and reducing deficit will most likely lend a hand in supporting the housing market and well as investment markets and the economy as a whole.

JLL’s UK CEO Guy Grainger said:

“The real challenge for the next government is to focus on medium-term measures to improve productivity, which has lagged behind countries such as the US, Germany and France, despite our remarkable rates of job creation.

“This will need to include further investment in infrastructure and skills. Continuity of main policy objectives for the past five years will be very helpful for investors and developers in the housing market.”

In order to solve the UK housing crisis it is evident that a stronger housebuilding sector is needed, which will also add to a growth in construction jobs. Progression of the housing policy will strengthen the chances of the UK housing market moving forward and solving the housing crisis.


On the market

Mortgage Solutions

Derby Telegraph


Sennocke can cater to all your property related insurance needs whether you’re purchasing or building a residential, commercial or unoccupied property. Sennocke can cover you from the point of exchange, throughout any building works to warranty on completion and even cover the property should you wish to let it out.


Self-Build Zone, part of Sennocke, are market leading providers of Site Insurance for anyone carrying out a Renovation, Conversion, Extension, New Build or Multi-Unit Development, we also cover any Existing Properties on the plot .

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Build-Zone offer highly competitively priced, Lender Approved, 10 year Structural Warranties for anyone who is under taking a building project, Build-Zone can also offer a warranty for completed properties as well as facilitating Building control and technical audit visits required for warranty and building regulations.

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