More property organisations and industry specialists have been broadly welcoming Chancellor Alistair Darling’s recent Pre-Budget Report, but many are still concerned that it will not be enough to jump start the housing market.

Jon Neale, head of development research at Knight Frank, said: “The additional £150m announced for the construction of 2,000 new social rented houses in the pre-budget report is welcome, as is the £100m announced for regeneration schemes, but these are small amounts given the scale of the current problem.

“To put it in perspective, the housing budget for London alone over the next three years is £5bn.

“The government should pursue more innovative schemes aimed at getting the development industry moving – for example, measures designed to promote the development of new homes for private or intermediate rent that could be sold when the market recovers.

RICS chief economist, Simon Rubinsohn, said: “We welcome the Government’s continuing action to address repossession through the three month period before action can start expansion of Income Support for Mortgage Interest and mortgage rescue schemes.

“With repossessions likely to rise to over 50,000 next year, measures to help prevent the trauma caused to families by repossession are essential.

“The acknowledgement by HM Treasury that stamp duty receipts from housing transactions are set to fall sharply over the coming financial year provides the Government with the opportunity to implement fundamental reform of the tax at little cost.

“Unfortunately there was nothing in the PBR to signal that the Government is minded to move away from the current slab structure and all the distortions to the market to a marginal rate system. This is a missed opportunity which could have further adverse ramifications for the housing market as the year long extension of the zero rate band to all properties costing less than £175k draws to a close.