'Stupendously out of touch': Govt savaged after saying £30k worker could buy terraced home in London

30 September 2022, 12:11

The Treasury's tweet about first time buyers in London has been savaged
The Treasury's tweet about first time buyers in London has been savaged. Picture: Getty/Twitter

By Will Taylor

A Government tweet explaining how a first-time house buyer on £30,000 could save thousands on a terraced home has been savaged.

Listen to this article

Loading audio...

Furious social media users piled onto the Treasury's Twitter account as they demanded to know which first-time buyers on £30,000 were buying a terraced house in the capital.

It was the latest communications disaster from a Government that has been floundering since its mini-budget threw markets into chaos.

"Thanks to the Growth Plan, a typical first time buyer in London moving into a representative terraced house will save £11,250 on stamp duty & £1,050 on the household's energy bills - and if they earn £30,000 almost an additional £400 on tax," the Treasury said.

"This is around £12,700 in total."

The idea someone on £30,000 would be able to afford a deposit or monthly mortgage repayments on a house was savaged.

Real estate company Zoopla has the average terraced house price in London at £846,548.

A mortgage at 3.5% interest would work out at more than £4,000 a month after a deposit in the tens of thousands.

One Twitter user asked: "Please can you show me terraced houses a first time buyer in London can buy with their £30k salary ?"

Read more: Over in just 45 minutes: budget watchdog leave emergency talks at No11 as they prepare forecast next week

Another replied: "You probably can if Mum & Dad give you a £300k deposit downpayment."

"Who do you spanners think is earning £30k a year and buying a terraced house in london - average house price £523,666 ??" wrote one irate user, while another blasted them as "stupendously out of touch".

Sam Freedman, a journalist and columnist, said: "I can only assume the Treasury comms team have resorted to smoking crack if they reckon someone on £30k is buying a terraced house in London."

Labour's shadow Scotland secretary said: "This just highlights how out of touch the Tories are. 1. £11,250 Stamp duty saving = £600k house price

"2. They use someone on £30k salary. 3. 25-year mortgage of £600k @ 4% interest would cost £3167 p/mth - £38,000 p/yr.

"4. Any savings wiped out by Tory economic chaos anyway."

Brian Moore, the former rugby star and frequent critic of the Conservatives, said: "Great - anybody got a spare half a million?"

Writer John O'Farrell said: "Dear out-of-touch treasury person who wrote this. If you earned £30k you could not afford a 'representative terraced house' in London.

"You could not afford a rabbit hutch in f****** Dagenham."

"I know we wanted the government to be a bit less Londoncentric, but it would help if they didn't act like they had literally no idea what the place was like and how much things in it cost," said writer Emma Burnell.

More Latest News

See more More Latest News

Renée Zellweger

Mad about the Box Office: Latest Bridget Jones installment smashes rom com record

Exclusive
David Gauke wants to reduce the size of the female prison estate to make room for more male inmates. File image shows Pentonville prison

Send fewer women to jail to make room for male inmates, says former Justice Secretary

x

Starmer will ensure UK is 'leading country' in European countries stepping up support for Ukraine

Gunner Beck

Women in Army subjected to 'disgusting' comments from male colleagues amid misogynistic culture, inquest hears

The aircraft can be seen upside down, with its wheels in the air, and the area thick with snow

Passenger jet 'flips over' during landing in Toronto leaving 15 injured - with three critical

Paula Miluska had started working from home in November 2022 due to her pregnancy illness

Woman awarded £93k payout after boss fires her for morning sickness by sending jazz hands emoji

c

Britain must take a ‘leading responsibility’ for peace in Ukraine, says PM as he calls for US ‘security guarantee’

Andrew Tate is facing allegations of trafficking of minors, sexual intercourse with a minor and money laundering

Trump team 'pressuring Romania to lift restrictions on Andrew Tate'

Skyrora, a rocket company with its headquarters in Edinburgh

Scottish company promises to blast rockets into space from 2026

A petition calling for major driving licence changes has received almost 100,000 signatures

Petition calls for ban on newly-qualified drivers carrying passengers under 25

The Princess of Wales has shares portraits drawn by her three children during the half-term break.

Princess of Wales shares heartwarming portraits drawn by George, Charlotte and Louis - but who drew who?

Double Olympic champion and Tour de France winner Geraint Thomas will retire from cycling this year.

Tour de France winner and double Olympic champion Geraint Thomas to retire from cycling at end of season

A 13-year-old boy has died and five others have been arrested following  a car crash on A672 Oldham Road.

Boy, 13, dies and five others arrested as Vauxhall Corsa spins off road in horror car crash

Lisa Smith, 43, was named by Kent Police

Pictured: Mother-of-two shot dead at pub on Valentine's Day - as police search river Thames for partner

Julia Wandelt who has claimed to be Madeleine McCann

Woman who claims to be Madeleine McCann releases bombshell new DNA test results

Pope Francis will need to remain in hospital with a respiratory tract infection

Pope to remain in hospital with infection as doctors tackle 'complex clinical picture'