Rishi Sunak has unveiled a new Conservative manifesto.
The plan includes £13 billion in tax cuts and a revival of the Help to Buy scheme.
£13 Billion in Tax Cuts
The manifesto outlines ambitious plans for over £13 billion in tax cuts. These cuts target earners, parents, and pensioners.
Funding for these cuts will come from overhauling the welfare system and cracking down on tax avoidance. Key measures include a proposed 2p reduction in national insurance.
Help to Buy Revival
Sunak has introduced a new £1 billion scheme to assist first-time buyers. This initiative enables buyers to purchase homes with just a 5% deposit.
This scheme is inspired by the previous Help to Buy initiative. It will be available for properties under £400,000.
The previous scheme had limits of £250,000 outside London and £450,000 in the capital.
Stamp Duty Abolishment
The Tories plan to permanently abolish stamp duty for first-time buyers.
This would apply to properties up to £425,000.
Sunak asserts that this move will help build an ‘ownership society’. More people will gain the security and pride of home ownership.
A Vision of Rewarding Hard Work
Sunak articulates a vision where working individuals can retain more of their earnings. He contrasts this with Labour’s approach.
He states, ‘Keir Starmer takes a very different view. He says he’s a socialist, and we know what socialists always do: take more of your money.’
Support for Young Home Buyers and Jobs
In a BBC interview, Sunak acknowledged the increasing difficulty of home ownership in recent years. He promised to build homes in suitable locations.
The new Help to Buy scheme will offer a 20% government equity loan towards new-build properties. This allows first-time buyers to secure homes with a 5% deposit.
The scheme will run for three years. No interest is payable on the government equity part of the loan for the first five years.
Developers will contribute a quarter of the equity loan costs.
Labour’s Alternative Plan
Labour has also proposed measures to assist first-time buyers. They aim to make the current mortgage guarantee scheme permanent.
This scheme, set to end in June next year, sees the government acting as a guarantor for part of a home loan.
This encourages lenders to offer low-deposit deals.
Labour claims their plan would help over 80,000 young people onto the housing ladder over the next five years.
In summary, the new Conservative manifesto aims to boost home ownership and ease financial burdens with significant tax cuts.
The revival of the Help to Buy scheme and the abolition of stamp duty are key highlights.
With these proposals, Sunak hopes to position the Conservatives as the party of opportunity and reward for hard work.