Will A People’s Bank Help The Property Market?
The government are getting closer to their plans to launch a ‘People’s Bank’ property sources have revealed.
In their latest scheme to enhance the recovery of the UK property market, the government have revealed plans to convert over 11,500 Post Offices into a new national bank whose sole purpose will be to help property owners on low incomes to save and improve their credit ratings.
And examining their plans for the coming financial year it would appear that they have thoroughly looked at this situation from every possible angle…
Aside from injecting a further £180m into this scheme, the government have also divulged plans to expand the existing financial industry by offering first time buyers a new 90% LTV mortgage product.
By providing first time buyers with the finance opportunities to get on the property investment ladder, property advisors believe that they will supply the last piece of the puzzle for ensuring that the UK property market recovers.
However, this 90% LTV is just the tip of the iceberg of the governments plans for this new People’s Bank… Over the next 12 months the government also plans to:
- Double the value of the Post Offices mortgage book
- Implement a weekly budgeting account to help low income property owners manage their household budgets
- Supply a children’s saving account
- Encourage low-paid workers to open saving accounts by contributing 50p to every £1 they save in their new Saving Gateway account
Related posts:
- Will The Property Market Repeat The Cycle?
- Government Owned Banks Fail To Act Competitively
- More 90% LTVs For First Time Buyers
- 0.5% Base Rate Held For 15th Month In A Row
- 95% LTVs Return
Tags: first time buyers, property advisors, property investment, property ladder, property market, property owners
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