BUDGET 2015: The chancellor has unveiled radical new plans to help first-time buyers get on the housing ladder.
George Osborne said the Help to Buy ISA would combine “two of the government’s most popular policies” by topping up savers’ deposits.
He said: “For every £200 you save for your deposit the government will top it up with £50. We will work hand in hand to help you buy your first home.
“A 10% deposit in the average first home costs £15,000 so if you put in £12,000 we will put in £3,000 more. It is effectively a tax cut for first-time buyers,” he added.
Osborne said he would “work with the industry” to make sure the policy is ready to be introduced “this autumn”.
According to the Budget 2015 document the scheme will reward savings of up to £12,000, paying a maximum £3,000 bonus.
Savers will be able to access their money at any time, however the bonus will only be made available for home purchase.
