Leading home moving and mortgage businesses set out blueprint for housing market recovery
Three leading organisations in the home moving process have presented their four-step plan to government on how to kickstart the housing market recovery.
Landmark Information Group, Mortgage Advice Bureau and Simplify – who each provide different critical services to home buyers and sellers – have together written to the Secretary of State for Housing, Communities and Local Government, Robert Jenrick, to detail how government can quickly get the sector operating again and critically, bridge the gap until momentum gathers.
By working collectively to make their case to government, Landmark, Mortgage Advice Bureau and Simplify are seeking to support consumers and protect jobs across the industry at this critical time.
The group’s proposals include:
- Getting the home moving market working quickly by defining a ‘safe move’ and ensuring that the sector is one of the first to be allowed to reopen under the phasing out of ‘stay at home’ measures.
- Ensuring that those who were part way through a transaction are protected by lenders continuing, where feasible, to honour mortgage offers.
- Providing a fiscal stimulus for the market, enabling a speedier recovery.
- Ensuring the Coronavirus Job Retention Scheme is extended for businesses operating in the home moving process beyond the restart of the market, to allow firms to rebuild income.
The group have been working closely with government and others across the industry over the last month to ensure practical proposals are developed that will allow the market to restart as soon as possible. To give consumers the confidence to move, Public Health England endorsement of these proposals will be essential. Since writing to the Secretary of State shortly after the housing market was paused, the group has in recent weeks held a number of virtual meetings with policymakers across government.
Businesses across the home moving process face particular challenges from Covid-19. The time it takes for the pipeline of transactions to be rebuilt, and the receipt of income on completion by many in the sector mean the right policy decisions by government are essential to support the market’s recovery. The market has the potential to act as an important catalyst for the wider economic recovery: home movers on average spend £12 billion per annum on furnishings, improvements and appliances supporting small businesses and the high street.
Simon Brown, Chief Executive of Landmark Information Group, said:
“We share government’s view that it is critical this crisis is a short, sharp shock to the economy rather than an extended depression. However, we are concerned that without a plan the housing market and home movers will experience the same uncertainty that followed the financial crisis. Protecting the housing market at this crucial time will help grow the UK economy and avoid a costly downward spiral. We know that government is also keen to achieve this, and our priority is to work with them to ensure the right short- and medium-term decisions are taken.”
Ben Thompson, Deputy Chief Executive of Mortgage Advice Bureau, said:
“Our businesses play a vital role in the home moving process. As a Group we are market leaders in the provision of mortgage advice, surveys and conveyancing. We believe that we have a responsibility to join others who are campaigning on this and taking the lead in supporting the recovery of the wider sector at this critical time. We need a truly joined up approach that recognises that all those working across our sector must be able to operate again, co-ordinating seamlessly, in order for the market to recover.”
David Grossman, Chief Executive of Simplify, added:
“Our focus is on ensuring that we are able to support the home moving process to restart in a way that is safe. We recognise that the government rightly took strong and decisive action to effectively pause the UK home moving market. At the appropriate time it is critical that there is equally clear guidance to consumers and industry to allow the market to restart and to recover. Our priority is to work with government and others in the industry to establish this. While we know there are economic consequences from a dysfunctional housing market there are also significant social implications, making it essential that the market recovers as quickly as possible.”
Kindly shared by Landmark Information
