Government loans to help families onto the housing ladder have been hijacked by rich buyers, new figures reveal.
The loans, part of the Help To Buy programme launched by former Tory chancellor George Osborne, see the government lend up to 20% of the cost of a newly built home to buyers.
But more than 10,000 of the loans have been taken out by households earning more than £100,000 a year, according to figures from the Ministry of Housing, Communities and Local Government (MHCLG).
And almost 16,000 have been taken out by households with an income between £80,000 and £100,000.
Labour’s Shadow Housing Secretary John Healey said: “Since 2010 Tory Ministers have failed to help buyers on ordinary incomes buy a home of their own.
“Since 2010 Tory Ministers have failed to help buyers on ordinary incomes buy a home of their own. The number of younger households owning a home has fallen by almost 900,000 since 2010.
“Help to Buy hasn’t focused on those who most need a hand up, and over 10,000 buyers have benefitted despite earning over £100,000 a year.”
Even as Labour languished 12 points behind in the polls ahead of last month’s (DEC) election, the party’s housing policies were dramatically more popular than Tory plans.
Labour had a 17 point lead over the Tories on housing issues by election day.
The Tories’ flagship ‘starter homes’ scheme for first-time buyers has collapsed completely.
In 2015, David Cameron promised 200,000 new homes would be built by 2020.
Not a single home has been built under the scheme.
Mr Healey added: “The Conservatives’ flagship ‘starter homes’ scheme for first-time buyers has failed completely, with 200,000 homes promised but not a single one built.
“We will hold the Tories hard to account on behalf of all those being failed by the housing market and failing Tory housing policy.“
A Ministry of Housing, Communities and Local Government spokesman said: “The Government is determined to help even more first-time buyers own their own home and our Help to Buy equity loans have helped more than 190,000 people take their first step on the property ladder – the majority with a household income below £50,000.”