A number of MPs have called upon the government to reveal what the exit strategy is for the Help to Buy scheme.
They want to ensure the housing initiative ends in 2017 as originally planned, according to a survey commissioned by mortgage insurance provider Genworth.
Just over half (51 per cent) of the MPs surveyed voiced their fears the scheme could become a permanent addition. The majority (72 per cent) were concerned about the impact on the taxpayer if the government guarantee was significantly called upon.
The survey showed four-fifths of Conservative MPs felt the initiative would help to increase house building, while only one-quarter of Labour MPs agreed.
Genworth mortgage insurance Europe president Angel Mas said: “With an eye to the near future, it’s clear that the government should start thinking about the exit strategy for the scheme now.”
He added that merely turning off the high loan-to-value mortgage finance at the end of 2016 could cause a cliff, as the issues that led to the creation of the Help to Buy scheme have not been dealt with.