Further Help to Buy from the Government

A Help to Buy ISA will be launched in the autumn, aimed at helping first time buyers get onto the housing ladder.

One of the rabbits which did not escape from Mr Osborne’s hat before the Budget was the announcement of a new Help to Buy ISA for first time buyers. The main features of the new ISA are planned as follows:

The new ISA has had a mixed reception. On the one hand there is the view that anything which helps first time buyers to build up a deposit is good news. Others note that it will take four and a half years of saving at the maximum rate permitted to reach point at which the full bonus is available. By then average house prices will probably have moved up by much more than £3,000.

The value of tax reliefs depends on your individual circumstances. Tax laws can change.