What does the March 2023 Budget mean for the property market?

Although there are some problems in the property market right now, the March 2023 Budget didn't give any direct help for the housing market, which we're not happy about.

But that doesn't mean there isn't some good news that can help the property market from an economic perspective. This can help put more roofs over people's heads, especially in some parts of the country.

Here are five things that will help make housing more affordable after the 2023 March budget:

1. The energy subsidy will be extended until the end of June 2023, which will give most households an extra ￡160. This will help people, although everyone is still paying higher bills, so they're still worse off.
2. Charities will receive ￡100 million in increased support to help those who need it during the cost-of-living crisis. This can help people afford the roof over their heads.
3. Some duties will be frozen to help with everyday spending, such as a cut of 5p in fuel duty that will remain for another year. Some alcohol taxes in pubs will also be 11p lower than in supermarkets. These measures will help reduce inflation by 0.75%, which is important because high inflation hurts buyers and tenants.
4. The UK economy is not expected to go into recession this year, which is good news. The forecast is for a decline of 0.2%, but there will be growth of around 2% over the next three years. Unemployment is also not expected to rise as previously predicted, and about 170,000 fewer people will lose their jobs. This will help prevent homeowners and tenants from losing their homes.
5. The Budget aims to help people into work. There is additional help for those who are disabled or long-term sick, along with more support for childcare and apprenticeships for those over 50 (called "returnerships"). This can help people who are struggling to live on benefits alone or want to work but can't because of childcare costs.

With reduced inflation, better economic forecasts, and more people working to fill job vacancies, there are some strong initiatives that can help people buy and rent properties.

If you need advice on buying, selling, letting or renting in the current market, contact us, we'd be happy to help.