29 October 2018
If you are covering the housing announcements in today’s Budget please see the following comment and analysis from Gemma Harle, managing director of Intrinsic mortgage network, part of Quilter:
“Those hoping that the Budget was going to make sweeping announcements about changes to housing will be disappointed. However, there was a ray of light for those suffering in the dark and gloomy world of the first time buyer market as stamp duty will be cut for first-time buyers of shared ownership homes up to £500,000, which will also be backdated to last year when it was cut for other first-time buyers.
“This is a well-meaning change but will have very little impact as few first time buyers purchase property above £300K even with a shared equity. Therefore this change will not go to the root of the problem, which is that there are simply not enough transactions being done further up the ladder. While we need to do more for first time buyers we should also look to those looking to move for the second or third time to free up more housing stock.
“Some will see the Government’s extension of the Help to Buy scheme by two years until 2023 as a positive however there will be lots of people unhappy it has not been scrapped. The scheme has had mixed reviews with some accusing it of simply serving to massively inflate housebuilder share prices alongside the unintended consequence that some first time buyers have been left as mortgage prisoners.
“The other housing related budget announcement that £500mhas been earmarked for the Housing Infrastructure Fund designed to enable a further 650,000 homes illustrates that the Government is thinking about the infrastructure needed to support new housing estates which is definitely a good thing. However, the question remains whether house builders actually have the capacity and skills to deliver these homes even with the extra funding.”
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Quilter plc oversees £118.1 billion in customer investments (as at 30 September 2018).
It has an adviser and customer offering spanning: financial advice; investment platforms; multi-asset investment solutions and discretionary fund management.
The business is comprised of two segments: Wealth Platforms and Advice and Wealth Management.
Wealth Platforms includes the Old Mutual Wealth UK Platform; Old Mutual International, including AAM Advisory in Singapore; and the Old Mutual Wealth Heritage life assurance business.
Advice and Wealth Management encompasses the financial planning network, Intrinsic; Quilter Private Client Advisers; discretionary fund management business, Quilter Cheviot; and Quilter Investors, the Multi-asset investment solutions business.
The Quilter plc businesses are being re-branded to Quilter over a period of approximately two years:
• The Multi-asset business is now Quilter Investors
• Intrinsic to Quilter Financial Planning
• The private client advisers business is now Quilter Private Client Advisers
• The UK Platform to Quilter Wealth Solutions
• The International business to Quilter International
• The Heritage life assurance business to Quilter Life Assurance
• Quilter Cheviot will retain its name