More than 1,750 couples earning over £100,000 a year were given government loans to buy a house, new figures reveal today.

Under the government's 'help to buy' scheme anyone who saves a 5 per cent deposit on a property will get a 20 per cent loan from the government so they can get a mortgage.

The programme was brought in to help first time buyers struggling to save enough cash to get on the property ladder.

However the scheme is helping some of the wealthiest families in the country, the government's own figures showed this morning.

More than 1,750 couples earning over £100,000 a year were given government loans to buy a house, new figures reveal today

Overall, 1,758 help to buy loans were handed out to individuals or couples who take home more than £100,000 a year – despite them being in the top 10 per cent richest households in the country.

In addition, almost 500 of the couples earning over £100,000 who were given government help already owned a property.

Government officials insisted today that the scheme was working well – pointing to figures showing almost half the loans to first time buyers went to those earning £40,000 or less.

However, this masks the fact that more than 30,000 loans were handed to households earning more than £40,000 a year – which puts them in the richest 30 per cent of earners in the country.

The average household income in Britain is £33,155, according to the latest official figures.

The government loans – which can be worth up to £120,000 – were also used to buy homes far more expensive than most families in Britain can afford.

The average house price in the UK stood at just £277,000 in June and just £213,000 for first time buyers.

But, according to this morning's figures, some 625 homes worth more than £500,000 – double the average UK house price – were bought using government loans.

Overall, 1,758 help to buy loans were handed out to individuals or couples who take home more than £100,000 a year – despite them being in the top 10 per cent richest households in the country

Overall, almost 15,000 homes worth more than £250,000 were bought using the loans, including 4,000 over £350,000.

Labour this morning demanded a cap on the cost of homes which can be bought on the scheme.

Shadow Communities Secretary Emma Reynolds said: 'Labour has long called for the government to focus schemes on hard-pressed first-time buyers and to consider reducing the maximum price of a home which qualifies for support.

'The government should review these schemes to see whether they should be focused on those who really need help in buying a home.

For an increasing number of people the dream of owning their own home is drifting out of reach Shadow Communities Secretary Emma Reynolds

'For an increasing number of people the dream of owning their own home is drifting out of reach. Under this government home ownership is at a thirty year low and there's a record number of young people living at home with their parents into their 20s and 30s.'

Under the government's scheme the government lends people up to 20 per cent of the cost of their new-build home.

This means people only need a 5 per cent cash deposit and a 75 per cent mortgage to make up the rest.

For the first five years, the government does not charge any fees for the 20 per cent loan.

The scheme allows for property purchases up to £600,000 with a maximum loan of 20 per cent.

George Osborne this morning insisted that the scheme was 'helping people achieve the aspiration' of buying a home.

He said: 'Our Help to Buy schemes have now helped nearly 120,000 working people across the UK.'

The Chancellor added: 'Supporting people who want to work hard, save and buy their own home is a key part of our long term plan to provide economic security for working people at every stage of their life, across the UK.