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Blue bonanza for Bloor
SOLOMON HUGHES introduces another housebuilder making the most of the government’s dodgy housing schemes

TAYLOR WIMPEY is not the only Tory-connected firm queueing up for Rishi Sunak’s mortgage support.

Businessman John Bloor, owner of Bloor Homes, has given the Tories over £3 million. He gave them £950,000 in 2019 to help fund the election campaign alone.

Bloor Homes’ latest annual report, for the year up to June 2020, shows that it made £152m profit on a £1 billion turnover — that’s slightly down on the previous year, but still a massive amount.

Bloor paid a £13.5m dividend out of the parent company, Bloor Holdings. That was an increase on the previous year’s £8.7m dividend. Almost all of this dividend goes to Bloor himself.

Like all housebuilders, Bloor is very dependent on government support for these super-profits.

The annual report says: “The housing market has been strong as a result of the availability of mortgage finance products at affordable levels and loan to value rations.”

Previous annual reports have been more open that this is because of “the government-backed Help to Buy scheme.”

The annual report discusses the dangers to the housing market in the Covid-19 era, and again makes clear it is government backing that drives the business.

The report says: “Government stimulus in the form of a stamp duty holiday is welcome, but at present is limited in duration.

“This, coupled with changes to the Help to Buy scheme, which coincide with the end of the stamp duty holiday in March 2021, add to the uncertainty.”

But no worries. In his Budget Sunak extended the stamp duty holiday — a tax break for rich housebuyers that helps housebuilders too — until June and, most crucially, created a new version of Help to Buy.

Both moves will boost housebuilders’ profits, but also increase house prices, so keeping money in their pockets while leaving homes unattainable.

The Tories claim a free market supplies people’s needs. But here we have a crony market that lines businessmen’s pockets while leaving homes unaffordable to the many who are forced into ever more insecure renting.

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