Darling to Allocate £1 billion for UK Housing

Alistair Darling, Chancellor of the Exchequer promised to set aside £1 billion for revival of UK housing sector as the large number of construction projects were cut in half last year. Also, orders for new houses fell by 46% from 2008, as the credit crunch hit the country and the property market suffered though its worst times. The government is expected to shares of homes and stakes in stalled projects as well as to finance infrastructure. As for now, completion of new houses at the end of 2008 reached 160,000 instead of government's target of 240,000. The HBF expected this year's completions to hit the record low. On the bright side, the results of recent surveys indicated that the worst for the property market is over, which led to an increase in shares of the building companies and in investments in land. Darling is expected to announce creation of treasury funds, which will provide finance to those builders who stalled their developments due to a lack of cash. The funds will also be used on the construction of roads and other public infrastructure, which was traditionally financed by private property developers. Also, the money can used to buy equity stake in unoccupied homes. Moreover, Darling is expected to extend a deferral on certain taxes and an exemption on a sales tax. Other measures to be announced by Darling include creation of a fund that will help local authorities finance social housing and assistance for indebted mortgage borrowers.