To ask the Secretary of State for Housing, Communities and Local Government, what assessment he has made of the potential merits of extending the Help to Buy Loan scheme to the end of 2021 to allow people whose purchases have been disrupted by the covid-19 outbreak to complete those purchases under that scheme.
The Government recognises that there have been delays caused by Covid-19. That is why on 31 July a two-month extension was announced to the building completion deadline from 31 December 2020 to 28 February 2021. The legal completion deadline for the purchase remains 31 March 2021.
The Government also announced an extra measure to protect existing customers who have experienced severe delays as a result of coronavirus. Homes England, who administer Help to Buy, will work with those who had a reservation in place before 30 June to assess their situation and look to provide an extension where necessary, in which case, they will have until 31 May 2021 to legally complete. More information can be found at https://www.gov.uk/government/news/help-to-buyscheme-extended.
We believe these measures provide sufficient time for developers to build out homes delayed by Covid-19 and protect customers whose purchases have been significantly delayed. There are no plans to extend the current scheme further.
Meanwhile the Government’s new Help to Buy scheme, which will replace the current scheme and is for first time buyers only, will commence on 1 April 2021 and run until March 2023. More information can be found at: https://www.helptobuy.gov.uk/equity-loan/help-to-buy-equity-loan-2021-2023/.