What Chancellor Hunt's Autumn Statement means for Brighton
Chancellor Jeremy Hunt recently announced a series of changes in his Autumn Statement, which are poised to have a positive impact on various sectors of the Brighton property market. These changes include benefits for private renters, landlords, and first-time buyers.
One noteworthy update is the increase in the Local Housing Allowance (LHA). Starting next year, LHA will rise to cover the 30th percentile of local rental market rents. This much-needed adjustment, advocated by landlord and lettings agency groups, aims to assist approximately 1.6 million households in both the private and social housing sectors.
The impact of this change is substantial, potentially providing around £800 annually to each household receiving LHA. This will help offset a significant portion of the increased rental market rents in recent years.
Furthermore, the government remains committed to supporting first-time buyers by extending the 95% Mortgage Guarantee Scheme until the end of June 2025. This strategic extension provides an additional 18 months of support to aid individuals stepping onto the property ladder.
In addition, there are proposed changes in planning regulations, with consideration being given to a shift in Permitted Development Rights. This change would allow for the conversion of any house into two flats without altering the external appearance. Such flexibility in housing options could open new avenues for property development and utilization.
Lastly, the decrease in national insurance contributions will positively impact disposable income, thereby aiding buyers' affordability, which has been challenged by recent interest rate hikes.
If you have any inquiries regarding the implications of the Autumn Budget on the Brighton property market, please feel free to contact us.