The Help to Buy scheme is an initiative which has been set up by the UK government in the hope that it can help people who are looking to purchase a house. When saving to purchase your first home, the government will boost your savings by 25% if you use the Help to Buy scheme. So, if you save £200, you will receive an extra £50. I am sure that you can see how this may help people to increase their funds, and how this can be wholly beneficial for someone that is looking to purchase a new property. Some argue that the scheme is really good, whereas others aren’t quite as positive. I would argue that the scheme gives people a good platform from which they can build; however, it seems that people would still purchase the same houses, regardless of the scheme. Let us, hence, have a deeper look into both sides of the argument so that we can have a better idea of what the Help to Buy scheme is like and how you could benefit from it.
Some people argue that the Help to Buy scheme is putting upwards pressure on house prices. This may, potentially, have adverse effects in the future. According to Grenville Turner, however, the scheme is improving the confidence of people investing in houses which means that more houses will be invested in. This is wholly beneficial for the economy as it will continue to allow economic growth and could potentially enable economic development too. In essence, therefore, the scheme improves the level of economic activity which may not have previously taken place.
On the other hand, however, according to NAO three fifths of buyers still would’ve been able to buy houses without the scheme. The only trouble is that they would not have purchased the houses that they had originally wanted. Some would argue that this fact does not make the scheme any better, but I would argue the opposite. The fact that buyers can buy the house that they wanted is a wholly positive result. It means that they will be happier with their property and that their standards of living may increase. We see, therefore, how the wellbeing of an individual may be improved as a result of the Help to Buy scheme.
In conclusion, I hope to have briefly outlined what the Help to Buy scheme is like. It is, in my opinion, a very good scheme which enables first-time buyers to purchase the houses that they want. It may be seen as not so good by some, but I am sure that there are personal reasons for these views.