Today's rise - all becomes clear...23 Jan 2025 17:35
In a research note, RBC Capital Markets noted the UK Government has entered into a contract with market research firm Verian to evaluate the Help to Buy scheme.
"Whilst this does not mean that Help to Buy is back, it does imply that the Government has started to seriously consider it. We are surprised the Government is potentially turning demand side stimulus so soon; they haven't really given the supply side measures a chance to take effect. Difficult to tell if this is a sign of an increasingly desperate or an increasingly determined Government," analyst Anthony Codling commented.
Codling said all the housebuilders he covers, apart from Berkeley, would be major beneficiaries of a Help to Buy scheme if it operated on similar lines to the previous scheme.
"All the national players have a wide variety of homes which are suitable for first time buyers and all housebuilders tend to follow the market. At Help to Buy's previous peak we believe that around half of the housebuilders' private volumes were sold through Help to Buy," he pointed out.