"We need mortgages that will help people really get on the housing ladder even if they have only a very small amount to pay by way of deposit, the 95% mortgages."
Speaking to the Telegraph, Johnson said: “I think a huge, huge number of people feel totally excluded from capitalism, from the idea of home ownership, which is so vital for our society. And we’re going to fix that – ‘Generation Buy’ is what we’re going for.
“We need mortgages that will help people really get on the housing ladder even if they have only a very small amount to pay by way of deposit, the 95% mortgages.
“I think it could be absolutely revolutionary, particularly for young people.”
Johnson has reportedly asked ministers to design the plan, which would involve removing stress tests for mortgage applicants, instead extending “a form of state guarantee” to lenders to de-risk the loans.
However, Polly Neate, chief executive of Shelter, said: “You have to question whether the Prime Minister is in touch with reality, he is talking about giant mortgages at a time when more than 320,000 private renters have fallen behind on their rent as a result of Covid-19.
“Offering up huge loans and even more debt is the wrong answer to the much bigger problem of rising housing insecurity in this country.
“The Prime Minister needs to stop selling pipe-dreams and start facing reality.
“The only way we will make a dent in the housing emergency is by increasing the number of secure and genuinely affordable homes, and that means building decent social housing.”
