LONDON (Reuters) - Shares in Barratt Developments (BDEV.L) and other UK house builders rallied on Wednesday after Chancellor George Osborne announced a homebuyers’ initiative in his budget statement to parliament.
Barratt Developments climbed 4.5 percent, topping the UK FTSE 250 index .FTMC, reflecting gains from sector peers, with Redrow (RDW.L), Bellway (BWY.L), Persimmon (PSN.L) and Taylor Wimpey (TW.L) up 2.9 to 3.6 percent.
“First, we’re going to commit 3.5 billion pounds of capital spending over the next three years to shared equity loans. And we’re offering guarantees sufficient to support 130 billion pounds of mortgages. It will be available from start of 2014 - and run for three years,” Osborne told parliament.
Reporting by Tricia Wright, David Brett; Editing by Toni Vorobyova