The Help to Buy scheme has kickstarted a housebuilding revival with the sector posting the strongest rise in activity in a decade.
Housebuilding in November increased at its fastest pace since 2003, according to Markit, due to improve credit conditions and rising confidence.
Increasing the number of of homes is vital to prevent the housing market from overheating, as the recent slump in supply has added to house price pressure.
Markit economist Chris Williamson singled out Help to Buy as a key driver of the rise in housing starts, which are 60% higher than a year ago.
He said housing starts totalled between 40,000 and 45,000 a quarter in recent months, up sharply from 28,000 a quarter at the end of 2012.
Mr Williamson said: "We're all guns blazing. This is exactly what we wanted to see. You stimulate the housing market, prices start to rise, and that encourages builders to start developing land.
"It should bring some equilibrium to the housing market where prices will stop rising too much.”
But he said the number of housing starts were still 30% below the average of 57,000 a quarter, in the four years leading up to the financial crisis.
“We really want to see between 200,000 and 250,000 houses being built a year at least to match population growth, otherwise we still have a shortage of places to live,” said Mr Williamson.
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