§ Mr. Andrew WelshTo ask the Secretary of State for Scotland if he will list the financial incentives available for first-time housebuyers since 1979, showing any changes n the amounts offered; and whether any further measures are planned.
§ Lord James Douglas-HamiltonThe Government introduced the right to buy for public sector tenants in 1980 as a major means of promoting owner-occupation. 347W Since then discount levels have been increased, and we have introduced a number of other improvements to the scheme to make it easier for tenants to purchase their homes. We have also introduced provisions to enable local authorities to offer grants to assist their tenants to obtain accommodation other than as a tenant of the local authority. Also, we have retained tax relief on mortgage interest which gives substantial help to most housebuyers in Scotland, and the limit on qualifying loans was increased from £25,000 to £30,000 in April 1983.
Under the Homeloan scheme, first-time buyers who are registered and have saved with an approved institution for at least two years can apply for a bonus on their savings of up to £110 and a loan of £600, interest free, for up to five years. The house price limits in the Homeloan scheme are kept under review. On 9 February the Government laid an order which proposes increases in the limits in all areas in Great Britain. However, the Homeloan scheme has been ineffective, and the Local Government and Housing Bill introduced on 1 February, includes powers for bringing the scheme to an end in Great Britain.
The operation of right to buy, and mortgage tax relief, are kept constantly under review.