A GOVERNMENT scheme which helps Islanders buy their first home is currently subject to “a bit of a pause”, according to the Housing Minister – but could be “reignited at any point”.
Deputy Sam Mézec told members of the Environment, Housing and Infrastructure Scrutiny Panel that the pause would allow time to evaluate the impact of the First Step scheme and whether any “tweaks” could be made for future iterations.
The assisted-purchase initiative, which is delivered in partnership with Andium Homes, was launched by Deputy Mézec in February last year.
It helped eligible first-time buyers access a contribution of up to 40% towards the purchase of an open-market property.
In June, it emerged that more than 50 homes had since been purchased as a result of the scheme, backed by £10 million of government funding, with £2m added earlier this year.
But Deputy Mézec said that there was currently no further funding set in place.
“Everybody’s in support of the concept and how it’s gone, but if I turned up to Council of Ministers and said please can I have another £10 million, then competing priorities would come into it,” he added.
“What that would do to support levels is obviously a matter for politics, but we’re not asking for more funding at this point.”
Deputy Tom Coles asked whether Deputy Mézec anticipated the initiative returning as part of the government’s Investing In Jersey plan announced earlier this year.
The document, which outlined a proposed medium and long-term investment
strategy, supported by a new Jersey Capital Investment Fund, included plans to “expand” the First Step initiative.
“I absolutely hope so,” Deputy Mézec replied.
“That will obviously be down to a political decision at some point.
“If I’m still around I’ll be arguing for more funding for it at that point, having had some breathing space to think about how we move forward with the scheme.”
He also said that the initiative could be “reignited at any point”.
Speaking to the JEP after the hearing, panel chair Deputy Hilary Jeune said she did not understand why funding had not been allocated for a further phase.
“Expanding First Step was one of the initiatives listed by the government when the Investment in Jersey plan was published just a month ago, but now it’s been paused,” she said.
“I think it’s a decision that will make it a lot harder for whoever is Housing Minister once we reach the next political term.”
