A leading property expert has outlined the five things he believes any housing ministers should be aiming to do if they want to successfully shake up the housing market.
Jonathan Rolande, one of the UK’s leading property experts, says successive governments have spent too long changing housing policy without delivering the certainty, supply and movement needed to make the property market work effectively.
He said: “Frankly, we may as well stop pretending each new government has to invent housing policy from scratch. With so many Housing Ministers (12+) in the last decade you’d think that by now, if there was a winning formula, they’d have found it by now.”
He argues that ten years of policy changes have resulted in too few homes, too few sales, excessive taxation, a planning system that can take years to reach decisions and a rental market in which both landlords and tenants can feel disadvantaged.
Rolande believes there are five key areas on which politicians across the political divide could agree:
- Stop tinkering
Property decisions are made over decades, yet governments frequently change tax, planning and rental rules. Rolande says the fundamentals of housing policy need to remain stable beyond the lifespan of individual governments.
“We need a deal on the basics that outlives a parliament. Argue about the finer details. Leave the direction alone.”
- Get people moving
Stamp Duty can make moving home prohibitively expensive, particularly for older homeowners who may otherwise be ready to move. Rolande believes reducing the tax burden could help unlock more transactions and improve market liquidity.
“Cut Stamp Duty for people moving home.”
- Fix planning, not the target
While governments regularly announce ambitious housebuilding targets, Rolande says the focus should be on creating a planning system capable of delivering them.
“Planning departments need money and staff. The rules need to be clearer and the decisions quicker. Developers should not sit on land for years. Councils should not take years to make up their minds.”
- Make downsizing worth it
Rolande says more suitable housing for older people, combined with lower costs when moving, could encourage those living in larger homes to downsize voluntarily and release family-sized properties.
“Build good homes for older buyers. Cut the tax on moving. Give people a reason to hand back a house they no longer need.”
- Stop kicking every landlord
The rental market also needs reform, but Rolande warns that policies which drive responsible landlords from the sector risk reducing supply and increasing competition among tenants.
“Squeezing out the good landlords helps nobody. It cuts supply and pushes rents up.”
Rolande concludes that housing policy should be based on long-term thinking rather than short political cycles.
“None of these five belongs to the Left or the Right, which is rather the point. Housing runs on a twenty-year clock and we govern it on a five-year one.”
He adds: “The property market is integral to the British economy and our way of life. Politicians need to agree with each other and rescue it.”
Property expert Jonathan Rolande is one of the UK’s leading authorities on issues related to housing. For more information visit: rolande.property
