The following information is extracted from the Government’s help sheet:
- New accounts will be available for 4 years, but once you have opened an account there’s no limit on how you long you can save for.
- Accounts will be available through banks and building societies from Autumn 2015.
- You can make an initial deposit of £1,000 when you open the account – in addition to normal monthly savings.
- There is no minimum monthly deposit – but you can save up to £200 a month.
- Accounts are limited to one per person rather than one per home – so those buying together can both receive a bonus.
- Only available to individuals who are 16 and over.
- The bonus is available to first time buyers purchasing UK properties.
- Minimum bonus size of £400 per person (a minimum of £1,600 savings are required to qualify for any bonus).
- Maximum bonus size of £3,000 per person.
- The bonus will be available on home purchases of up to £450,000 in London and up to £250,000 outside London.
- The bonus will be paid when you buy your first home.
Two further points to be considered. Savings can be withdrawn for any other purpose, but then no bonus is payable, and there are complications if you want to open a Help to Buy and a Cash ISA in the same tax year.