The Road to Redemption: Analysing taxpayer returns on help to buy equity loans

21 Jun, 2021

The Road to Redemption: Analysing taxpayer returns on help to buy equity loans

New analysis of household repayments under the Help to Buy Equity Loan scheme shows that the Government’s home ownership scheme has seen homeowners repay their Government equity loans with an average uplift of more than 10% when compared with the original loan value.

The research, conducted by the Home Builders Federation, reveals that:

  • The Government has received £2.481bn in repayments of loans with an original value of £2.249bn, a return of £232m
  • Up to March 2020, 49,020 Help to Buy Equity Loans had been fully redeemed, 18% of all the loans issued up to that point
  • 60% of equity loans issued in the first two years of the scheme (2013/14 and 2014/15) were fully repaid by March 2020
  • During 2019/20, the Exchequer received £941m in repayments of loans with an original value of £875m, an increase of £66m

HBF Report -Road to Redemption

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