ePolitix.com Stakeholders comment on the measures that will affect housing in chancellor Alistair Darling's 2008 Budget.
Stakeholder Response: NHBC
To send a comment to to the NHBC click here
Imtiaz Farookhi, NHBC's chief executive, said: "The decision by the chancellor to target all new buildings to be zero carbon from 2019 is to be commended as is the decision to provide 'pump-prime' funding for a 2016 delivery unit to guide, monitor and co-ordinate the zero carbon programme, which we have long said is needed to develop a framework to move this agenda forwards.
"NHBC's independent research institution, the NHBC Foundation, has just completed a major body of work involving extensive interviews with homeowners and builders to gauge awareness, understanding and attitudes towards zero carbon housing.
"Importantly this work underlines how fundamental the views of consumers will be to achieving the government's ambitions on zero carbon.
"Existing housing stock also has a part to play in driving down carbon emissions and this is why is it pleasing the chancellor has outlined a significant programme of spending to make existing homes more energy efficient through the use of tried and tested technologies including cavity wall and loft insulation.
"The Foundation's research has highlighted the need for zero carbon measures to be based on sound science and safe technologies and using these methods to reduce carbon emissions in existing stock is welcome."
Stakeholder response: The Council of Mortgage Lenders
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A spokesperson told ePolitix.com: "The CML welcomes the announcements of further consultation on market-led solutions to strengthen the mortgage funding market, and hopes for early progress with active participation by the Bank of England.
"The CML is pleased that the government did not commit to particular 'gold standard' measures, that could have been damaging.
"The working group designed to bring forward proposals will report to the chancellor in the summer with a view to proposals in the pre-Budget report.
"It is a similar story of welcome measures but a lack of apparent urgency on sale-and-leaseback schemes, where the FSA and OFT have been tasked with undertaking a review of the operation of such schemes, but where there is no timescale for any measures to tighten up requirements on those operating in this sector.
"And the modest announcements relating to shared equity schemes for key worker first-time buyers, while potentially welcome, are unlikely to provide any short-term relief to affordability and entry costs for first-time buyers to the housing market, where a stamp duty reprieve would have done so."
Michael Coogan, director general, commented: "There was little of immediate concrete substance for the housing or mortgage markets in this Budget. While there may prove to be benefits in the long-term, the chancellor ducked the pressing nature of some of the issues that are facing the markets right here and now.
"However, we welcome the recognition of the problems facing the mortgage-backed securities market, and the need for market-led solutions. We look forward to working with the Treasury to help ease mortgage funding pressures this year, and to look again at the ongoing market for low-cost homeownership and long-term fixed rate mortgages for those niche groups of borrowers who would benefit from them."
Stakeholder response: The British Cement Association
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A spokesperson said: "The British Cement Association (BCA) called on the chancellor of the Exchequer to recognise in his Budget the strategic contribution of the domestic cement industry in meeting the country's economic and social development goals.
"Reminding him of the promise he made in his pre-Budget speech last November, that the government would respond to the rising aspirations of the British people, the BCA, whose members are Castle Cement, CEMEX UK, Lafarge Cement UK and Tarmac Buxton Lime and Cement, pointed out that if the government is to deliver on its promises of more homes, schools, health care facilities and better infrastructure, then the country needs the materials to build them - and that means cement and concrete.
"Only cement and concrete are fire and flood resistant and have natural warming and cooling properties that will help to reduce energy usage in a period of climate change."
Professor Pal Chana, acting chief executive, said: "Cement and concrete are essential to achieving the economic development that will flow from better infrastructure and the social development aspirations of the public who demand new and better homes, schools and health care facilities.
"Cement is a local product made in Britain and supplies are essential to help the construction and civil engineering industries meet government's challenging targets.
"It is vital that a healthy and competitive domestic cement industry is maintained if we are not to risk 'carbon and jobs leakage' to non-carbon constrained countries. It is also essential that we do everything we can to avoid 'carbon miles' associated with imports."
The BCA said: "A taxation system that encourages imports and carbon leakage would be a disaster for the economy and the planet; we urge the chancellor and the government to think very carefully before introducing new burdens on industry; this means, among other things, ensuring that the cement industry is recognised as a 'potentially competitively impacted sector' under the EU Commission's proposals for EU ETS Phase III."
Stakeholder Response: Local Government Association
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Sir Simon Milton, chairman of the Local Government Association, said: "Councils will want assurance that enough money will be made available for infrastructure.
"Sufficient funding for the roads, schools and hospitals needed to turn desolate dormitories into places where people can live and work is vital.
"Recent events remind us that infrastructure must also include adequate flooding defences and drainage systems."
Stakeholder Response: RICS
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Simon Rubinsohn, RICS chief economist said: "We do not believe that these mortgages will necessarily be suitable for all. Many borrowers will continue to have a preference for interest rates that more closely reflect underlying economic conditions.
"We also believe there is a strong case for greater transparency on mortgage arrangement fees which have risen sharply in recent years. Not only do they mask the relative attractions of individual mortgage products but with regular refinancings, these mortgage fees are proving increasingly burdensome for homeowners.
"On the plan to set up a Working Group to look into establishing a Gold Standard for mortgages to help strengthen financial innovation, the RICS believes that there will be need to show what this will add to the existing system of ratings of mortgage products.
"While agencies are under something of a cloud at the present time, it is far from clear that another body effectively charged with the same responsibilities will fare any better.
"Moreover at the present time it is price volatility rather than actual credit risk that is scaring the natural buyers of these mortgage instruments."
