Whilst the Chancellor sought to appease ‘middle England’ by granting a drop in fuel duty at the pumps last month, in terms of assisting the property market the Budget failed to go as far as many UK Estate Agents and Letting agents would have liked though there were some concessions for lettings.

In his second Budget address since the Coalition government formed last year, George Osborne announced a number of measures to kick-start the property market that has, for some time now, suffered from a loss in consumer confidence. But from a sales perspective, the breaks offered seemed to concentrate solely on first time buyers. The NAEA has long been a supporter of this very important part of the market, but it is generally accepted that the ‘squeezed middle’ have endured some of the toughest financial pressures following the recession, with Ed Miliband even admitting last week that the current problems had their roots in the previous New Labour government. The plan to focus spending on new build properties for first time buyers rather than incentivisation policies which could positively impact the housing market more widely was, in our view, ill-conceived. It represents little more than a gesture from the government, decreasing any chances for much-needed upward momentum in a market that is still in the tentative stages of recovery.

The decision to review Stamp Duty, an issue our Estate Agents Association has vigorously campaigned for during recent years, is a step in the right direction but the Treasury has as yet failed to take a closer look at the structure of the tax, even when a growing consensus within the housing market is calling for a shift from a slab to slide system.

However, the change to the rules for Stamp Duty on bulk purchases is welcome news for ARLA letting agents. Traditionally, this tax has been an obstruction to much-needed institutional investment into the private rented sector, where other countries have seen significant financial injections. The private rented sector plays a critical role in the housing market and this change should help to encourage institutional investors into the market. Similarly, the proposed changes to REITs could help boost investment in property.

From an NAEA perspective, we applaud the decision to overhaul planning laws, and believe the change of property use could free up unused commercial property, injecting much-needed supply into the market, at a fraction of the cost of a new build property.

Nevertheless, none of these measures outlined will have the impact desired without the Coalition first overcoming the substantial capital barriers that are currently restricting property ownership. No-one wants to see the housing market stagnate this year and our latest market report for February shows there’s great potential for growth, with slight increases across demand and supply. So while assisting first time buyers is very important, more needs to be done to support the wider market.