Labour Buy to Let Block

Labour Buy to Let Block.

The Financial Times has reported that if Labour are brought to power in the next election then they would block buy-to-let investors from purchasing new build homes.

The new plans are thought to be announced today and commissioned by Labour Leader Ed Milliband in efforts to improve the housing market. Other plans include rent caps being introduced and councils being given powers assign new housing growth areas.

The local council plans would see councils with the power to choose land and make sure that new homes were built. In these areas that the council selects, they would be able to give early access for over half of the properties built for the first two months after construction is finished.

This would hold back buy-to-let investors for a set period of time before allowing them access. This has come after many campaigners said that new home builds were often bought by foreign investors before construction had even finished.