London loft extension builders may lose business as the Government caps housing benefit

London loft extension builders may lose business as the Government caps housing benefit

Builders who specialise in loft extensions in London may see a steep decline in their business because the government's cap in housing benefit will make it less lucrative for landlords to divide properties into apartments and annexes, according to some analysts in the construction industry.

The new cap on housing benefit was announced by chancellor George Osborne in the government's autumn spending review and could see thousands of benefit claimants priced out of the capital, resulting in lower demand for the construction of loft extension-style apartments in the capital.

News of the housing benefit limit has made waves across London particularly; with mayor Boris Johnson controversially denouncing the policy, saying that he was against Kosovo-style social cleansing.'

Clinton Foakes who runs a building firm in Ealing which specialises partly in London loft extensions said: "We are not too concerned about the housing benefit cap affecting demand for our trade.

"Most clients opting for a a loft extension in London or Loft Extension in London are commissioning the work to enhance the utility of their homes for their own personal comfort and enjoyment; not in order to lease the extra space to benefit claimants.

Real Estate analyst Felix Fortescue said: "London's loft extension-style housing will always be in demand by working people in the capital, and will also still be financed by housing benefit at the lower end of the scale, so builders need not fret too much.

"However, the days when housing benefit could be expected to cover the rent on a plush and spacious London loft extension apartment in an exclusive area are definitely over.

"So a small slump in demand for these developments may not be out of the question, as some benefit claimants move out of the capital rather than switch to a more modest dwelling within it."He added.

Check outLondon Loft Extensions by Clinton Foakes Building & Development!

POST COMMENT

Search Rental Houses Charlotte NC - Charlotte Rental Houses - Houses for Rent Charlotte NC A Barbie Dollhouse May Be The Perfect Doll House For Your Young girl A Perspective On Housing Tenure Dog Crate Within A Household Watch House Season 7 Episode 6 Collecting Dolls House Dolls - A Hobby For Future Generations Dilworth Neighborhood - Homes for sale Dilworth (Charlotte, NC) - Dilworth Homes - Dilworth Houses Things to Consider Before Buying Bank Houses for Sale Do Your Homework Before Buying House Insurance in New Jersey FanHouse Preview: Eagles at Vikings Long Stay Hotels Versus Corporate Housing Your House Will Appear Pretty With Wholesale Wall Stickers All You Need To Know About House Alarm Systems