Joe the Plumber to run for Congress

The everyman who became the hero of rightwing America hopes to enter House of Representatives.

It's been three years since Samuel Joseph Wurzelbacher, the Ohio man dubbed "Joe the Plumber", hurtled into the public eye after berating then-presidential candidate Barack Obama on tax policy. Now, the man who was referred to more than two dozen times during 2008's presidential debates had announced that he is running for Congress.

After his five-minutes of fame, Wurzelbacher became something of an icon for anti-establishment Republicans, touring the country to speak at Tea Party events. He was seen as everyman, the representative of hardworking America (although it later emerged that he was not a licensed plumber). Not one to miss a trick, he's also secured a book deal and recorded a country music record. He announced yesterday that he will run as Republican candidate for the House of Representatives in Ohio's 9th Congressional District, which includes the city of Toledo.

In his announcement, he said:

If I'm coming off as angry, it's because I am. I just can't stand it when people do bad work. And we've been voting, the last 40 or 50 years, (for) bad people to do bad things to us. Why have we been doing it? Because we don't take our civic responsibility seriously enough.

His new campaign website, Joeforcongress2012.com, promises that he will be "a fierce advocate for working class, conservative values" in Washington. Wurzelbacher has previously been dismissive of politics as a whole, and said that he'd decided to enter as a Republican because he didn't think he could win as an independent. "Is it the lesser of two evils?" he said. "I don't know."

Samira Shackle is a freelance journalist, who tweets @samirashackle. She was formerly a staff writer for the New Statesman.

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I was wrong about Help to Buy - but I'm still glad it's gone

As a mortgage journalist in 2013, I was deeply sceptical of the guarantee scheme. 

If you just read the headlines about Help to Buy, you could be under the impression that Theresa May has just axed an important scheme for first-time buyers. If you're on the left, you might conclude that she is on a mission to make life worse for ordinary working people. If you just enjoy blue-on-blue action, it's a swipe at the Chancellor she sacked, George Osborne.

Except it's none of those things. Help to Buy mortgage guarantee scheme is a policy that actually worked pretty well - despite the concerns of financial journalists including me - and has served its purpose.

When Osborne first announced Help to Buy in 2013, it was controversial. Mortgage journalists, such as I was at the time, were still mopping up news from the financial crisis. We were still writing up reports about the toxic loan books that had brought the banks crashing down. The idea of the Government promising to bail out mortgage borrowers seemed the height of recklessness.

But the Government always intended Help to Buy mortgage guarantee to act as a stimulus, not a long-term solution. From the beginning, it had an end date - 31 December 2016. The idea was to encourage big banks to start lending again.

So far, the record of Help to Buy has been pretty good. A first-time buyer in 2013 with a 5 per cent deposit had 56 mortgage products to choose from - not much when you consider some of those products would have been ridiculously expensive or would come with many strings attached. By 2016, according to Moneyfacts, first-time buyers had 271 products to choose from, nearly a five-fold increase

Over the same period, financial regulators have introduced much tougher mortgage affordability rules. First-time buyers can be expected to be interrogated about their income, their little luxuries and how they would cope if interest rates rose (contrary to our expectations in 2013, the Bank of England base rate has actually fallen). 

A criticism that still rings true, however, is that the mortgage guarantee scheme only helps boost demand for properties, while doing nothing about the lack of housing supply. Unlike its sister scheme, the Help to Buy equity loan scheme, there is no incentive for property companies to build more homes. According to FullFact, there were just 112,000 homes being built in England and Wales in 2010. By 2015, that had increased, but only to a mere 149,000.

This lack of supply helps to prop up house prices - one of the factors making it so difficult to get on the housing ladder in the first place. In July, the average house price in England was £233,000. This means a first-time buyer with a 5 per cent deposit of £11,650 would still need to be earning nearly £50,000 to meet most mortgage affordability criteria. In other words, the Help to Buy mortgage guarantee is targeted squarely at the middle class.

The Government plans to maintain the Help to Buy equity loan scheme, which is restricted to new builds, and the Help to Buy ISA, which rewards savers at a time of low interest rates. As for Help to Buy mortgage guarantee, the scheme may be dead, but so long as high street banks are offering 95 per cent mortgages, its effects are still with us.