One of the UK’s leading estate agency CEOs has launched a blistering attack on the government’s handling of the property market since it was elected in June.

Haart CEO Paul Smith reckons the number of landlords registering with its branches to buy property is down by almost a third as fewer landlords invest in property.

He says that “this could have serious long-term consequences for the rental market and lead to higher rents, putting those who are trying to save for a deposit in an even more difficult position”.

His comments follow the most recent overall data from the Council of Mortgage Lenders (CML) which reveals that , although mortgage lending rose in May by 10% year-on-year, the figures “flatter to deceive” says Paul Smee, Head of Mortgages at CML parent organisation UK Finance (pictured, left).

“The seasonally-adjusted data shows a less buoyant lending picture, with home buying activity remaining relatively unchanged month-on-month and remortgage lending gradually decreasing each month since January,” he says.

Disaster

Haart’s Paul Smith (pictured, below) says he also thinks Prime Minister Theresa May’s legacy on home ownership has so far been “a disaster” and that ‘just about managing’ families are further away from owning their own home than ever.

He also says that “the government’s feeble housing white paper did not go anywhere near enough to get house builders building and the market moving”.

“Whilst there has been some recovery since the damaging introduction of a stamp duty surcharge last April, we still have a long way to go until we have a property market that is back to full health,” he says.

“Data from our own branches shows that the number of landlords registering to buy is down 30% on the year across England and Wales.

Critical juncture

Paul says that affordability is “clearly reaching a critical juncture as the average loan size increases whilst the average income decreases.

“Although rising first-time buyer borrowing demonstrates the appetite for home ownership in the UK, young people should not be left to stretch beyond their means, and Government should intervene with a tax break as a quick and straight-forward way to help them get onto the ladder.”

Haart is part of Colchester-based Spicerhaart and the agency claims to be the largest independent residential sales and lettings network in the UK. Parent company Spicerhaart includes the Spicer McColl, Haybrook, Felicity J Lord and Chewton Rose brands and, overall, the group says it employs 2,000 staff across the UK.