The Welsh Government has extended the Help to Buy scheme for a further two years to March 2025.

The current phase of the scheme in Wales is due to close to applications in March next year.

The scheme’s next phase starting in April 2023 will see the introduction of a £300,000 price cap, in line with the increases in average house prices in Wales.

Announcing the extension, minister for climate change Julie James says: “It is important to ensure that the extension to the scheme takes account of changes in the housing market, the impact of the current economic climate on potential home-owners and the housing industry.”

All homes purchased with the scheme’s support will need to reach a minimum energy performance certificate (EPC) B.

The extension was developed with the support of UK Finance, the Home Builders Federation, the Federation of Master Builders and the Development Bank of Wales.

James comments: “The Welsh Government wants to ensure support for potential new home-owners continues to be relevant and targeted at those who most need it, particularly in these economically challenging times.”

The minister for climate change says she has asked officials to commission research into the future needs of home buyers, and the role Help to Buy Wales can play to meet those needs.

She states that the research findings, which will be available in the summer, “will underpin future planning to support people wishing to buy a home”.

“In making this announcement today I am providing certainty to people who are hoping to buy a home and offering support to more than 90 developers and SMEs registered to deliver the scheme,” she adds.

Help to Buy Wales was launched in January 2014 and has delivered more than 13,400 through the scheme.