The challenge of homeownership for younger residents in Jersey has intensified, according to recent updates from Housing Minister Sam Mézec. Rising property prices, coupled with increased living costs and stagnant wages, have created significant barriers for first-time buyers. The situation has prompted scrutiny regarding the effectiveness of government initiatives aimed at assisting these individuals in entering the property market.
During a recent hearing with the Environment, Housing and Infrastructure Scrutiny Panel, Minister Mézec provided an overview of the First Step assisted-purchase initiative, which operates in partnership with Andium Homes. The scheme, supported by £10 million in government funding, offers eligible first-time buyers a contribution of up to 40% towards purchasing an open-market property. Since its launch two years ago, a total of 65 loans have been distributed across four tranches. However, the funding has now been exhausted, and while Minister Mézec expressed a desire for the scheme to continue, it is currently paused.
The average age of beneficiaries of the First Step initiative is 38, with the youngest participant at 27 and the oldest at 52. Deputy Tom Coles, vice-chair of the panel, noted that the statistics only reflect those taking advantage of this particular scheme. He emphasized that the existence of multiple assisted-purchase initiatives indicates the increasing difficulty for younger individuals to buy homes in the private market.
The implications of delayed homeownership extend beyond individual circumstances. According to the most recent annual statement from the Office of the Superintendent Registrar, Jersey recorded fewer than 600 births in 2025, the lowest since 1945. This figure represents a 2.5% decrease from 2024 and a 30% drop compared to 2015. Deputy Coles suggested that financial insecurity is a critical factor influencing this decline, stating, “Nobody wants to struggle, nobody wants to get themselves into a position where they are then struggling – so absolutely people are having to make choices.”
The decision to remain in Jersey or relocate has become a pressing concern for many residents. As Deputy Coles pointed out, the cost of housing in Jersey often exceeds what is available in the UK, which may lead some to consider leaving the island for more affordable options.
Deputy Alex Curtis remarked that while the figures from the First Step initiative are not surprising, they reflect a broader trend observed across Western and European countries, where the age of first-time homebuyers is steadily increasing. He emphasized that housing affordability issues are not exclusive to Jersey and highlighted the need to understand the actual costs involved in delivering housing.
Statistics Jersey reports that the average price of a two-bedroom house in 2006 was £303,000, which escalated to £552,000 by the end of 2022. Over the same period, the average prices of two-bedroom flats and three-bedroom houses have increased from £259,000 and £375,000 to £496,000 and £732,000, respectively. Although there was a slight decline in property prices in the latest figures—down 1% from 2024 to 2025—many prospective buyers remain unable to afford median-priced homes.
According to the average earnings reports from Statistics Jersey, real earnings from 2001 to 2020 increased by just 0.7%. As of June 2025, the average earnings for full-time employees reached £1,040 per week, reflecting only a modest increase from £1,000 per week in the previous year.
Industry professionals are observing shifts in the demographics of first-time buyers. Nicky Totty-Golding, head of residential sales at Gaudin & Co, noted that first-time buyers are increasingly in their late 20s to early 30s. She attributed this trend to rising living costs, including rents and food prices, which make saving for a deposit more challenging. “Saving for that 5%, 10% deposit does take quite a lot and longer,” she explained, indicating that individuals who entered the market 15 to 20 years ago were typically in their early 20s.
Jason Olver, a residential sales negotiator, highlighted the difficulties faced by those in their early 20s attempting to purchase homes on a single income. He noted that many couples are required to combine their incomes to afford a mortgage, particularly if they lack financial support from parents or other sources.
As Jersey grapples with these complex housing challenges, the future of homeownership for younger residents remains uncertain. The need for effective solutions to enhance accessibility to the property market is more pressing than ever, placing the focus on government initiatives and community support to aid those looking to achieve financial stability through homeownership.
