Chancellor Jeremy Hunt has been tipped to “throw as much of the kitchen sink as he can” at supporting the property industry in the forthcoming spring budget.

Set for 6 March, Hunt’s next statement is expected to pave the way for the Conservative Party’s campaign for the next general election, likely to take place in the second half of 2024.

With speculation that the budget will contain measures to boost the property market – and the government’s popularity – Brendan Sharkey, construction and real estate specialist at accountancy firm MHA, believes support could come in the form of a reduction in stamp duty, specific support for first-time buyers or “something similar to the Help to Buy scheme”.

He added: “The government will also need to consider how to replace the mortgage guarantee scheme, which comes to an end in June 2025.”

Sharkey expressed surprise that there was no support for the property industry in the autumn statement of last year.

In addition, he noted: “It was also disclosed earlier this week that two-thirds of the UK housebuilding fund remains unspent despite an ongoing housing crisis, primarily due to a significant rise in costs and the challenges getting approvals. 

“However, as we gear up for the election, housebuilding and home ownership will be a key issue.”

Sharkey predicts that this year will be “one of the strongest” for affordable housing development. “Many of the big players have moved into this segment because there is steadier cash flows and margins compared to other projects,” he said. “Build to rent will continue its upward trend.”