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“Please sir, may we have some more?”

… shouted the land bankers home builders, and their wishes were granted. From the BBC: A mortgage guarantee scheme to help people with small deposits get on the property ladder is set to be announced at next week’s Budget. The government will offer incentives to lenders, bringing back 95% mortgages which have “virtually disappeared” during the pandemic, the Treasury says. Chancellor...

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Doncaster floods

Floods like this week’s at Doncaster are a regular occurrence. The mechanism is heavy rainfall on high ground, followed by excessively fast run-off. The effects can be greatly mitigated through measures which retain the water so that it is released more slowly. Most important of these to reduce the extent of uplands grazing, which result in loss of tree cover below the tree line and scrub...

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Farming support

With Brexit impending, perhaps, UK farming policy is back on the agenda. We need to be clear about the effects of support for farmers, in whatever form it takes. This requires an understanding of the great economist Ricardo, who formulated the Law of Rent.

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2015 Budget – keeping the land price bubble fed

We note that the budget consits mostly of minor adjustments. The new scheme for “helping” first time buyers does nothing but boost the housing bubble, which we can only assume is cynically intentional. A further land price booster will also continue: the current temporary Small Business Rate Relief, which was due to end on 31 March 2013, will now continue until the 31 March 2016. However,...

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Help to buy – scramble to buy

Britain’s rapid housing market recovery has sparked a scramble for land, writes Gill Plimmer in the FT. Bidding wars between building groups are pushing prices up 10 per cent or more. As sales of new-build homes have surged, on the back of the government’s controversial Help to Buy scheme, land traders say they are seeing six to 10 buyers competing for some sites, compared with just...

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Another taxpayer handout to landlords

Demand for rented accommodation in London exceeds supply. The result: rents go up and many tenants are being forced to move out. In January the government is cutting the local housing allowance so that poorer tenants will have their subsidy reduced by anything from £9 – £74 per week. Shelter estimate that 130,000 households will either be evicted or forced to move.

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Chancellor clarifies benefits statement

Reports are coming in of a heated exchange at the Conservatory Party conference between the Chancellor of the Exchequer and representatives from The Landed Gentry Association. A spokesman told us, “Earlier in the week the Chancellor made a statement that he intended to put ‘a limit on benefits received’. Naturally we sought urgent clarification that this policy would not affect...

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How to heat up the housing market

For some light relief, try this article by Financial Times journalist Chris Giles, who has a novel suggestion about how to kick-start the housing market, which is no more daft than most of the proposals being put forward seriously.

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