A MHK is concerned about the current support in place for first-time buyers in the island.

Jason Moorhouse, Arbory, Castletown and Malew MHK, asked the chair of the Housing and Communities Board in the House of Keys last week about the progress made on improving support for first-time buyers.

Chris Thomas MHK, chair of the board, explained that a number of policy changes will be subject to public consultation, will then need to be supported by the Treasury and be put before Tynwald.

He said it was estimated the review will be ready for consideration in the final quarter of 2022.

The changes include the Department of Infrastructure incorporating the option to revise the maximum annual income categories in the schemes to reflect annual median earnings and bring the incomes data in line with end-2020 levels, and the maximum purchase price of homes in the choice scheme to be increased in line with the residential property median house price inflation figures.

Also, the possible adjustment of interest rates in respect of first-time buyer purchases, so as to reduce the likelihood of unaffordability of interest charges in respect of shared equity loans, and the frequency and level of lump-sum payments by purchasers in respect of paying off shared equity loans is adjusted, thus maximising the flexibility of repaying loans.

Mr Thomas added that an operational policy change had been agreed by the DoI on December 14, 2021, which removes the automatic exclusion from access to financial assistance towards a home purchase for any person who has previously received such assistance, regardless of their present circumstances.

’This acknowledges the need to provide access to the scheme for some people who have previously received assistance jointly with another person, for instance,’ he said.

Mr Moorhouse brought a motion forward in January 2021 regarding first-time buyer housing.

He said: ’Having brought a successful motion in 2021, asked many related questions and really tried to get change in this vitally important area, there has been very little progress.

’In September 2021, in a Facebook post, the Department of Infrastructure suggested that things would soon be changing with a Tynwald debate in the spring of 2022 and the new scheme available around Easter - what happened to that?’

He added: ’The answer was very disappointing with the exception of the announcement of the operational policy change that’s been agreed by the Department of Infrastructure.

’In addition to the first-time buyer term not appearing in the Island Plan, this pressing need is unlikely to be discussed by Tynwald Members until the end of the year, two years after the motion I brought last January appeared.

’From my perspective, if the island’s young people are to remain on island or return home, the priority must be getting the support for first-time buyers correct.’ When asked if he felt provision was urgently needed, Mr Thomas said this was ’absolutely urgent’.

He added that this was ’why the Chief Minister called it a crisis’ and established a board in government responsible for housing.