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A microbrewery was built near the main entrance to produce craft ales and an extensive waterside terrace was installed.
The pub, formerly called The Boatyard, was open at the time and staff and customers were evacuated.
At 12.45pm flames could be seen through gaps at various points of the roof and smoke was engulfing the adjacent Leeds and Liverpool Canal.
Calculations made by housing charity Shelter in 2015 suggested that, to afford a starter home with a 20% discount on the price in 2020, a typical buyer in England would still need an income of £50,000 and a deposit of £40,000.
In London, someone would need an income of £77,000 and a deposit of £98,000, based on average lending ratios, according to Shelter's projections.
"The Government has made promise after promise and pledge after pledge to help first-time buyers get on to the housing ladder, but until we see these houses built, we won't hold our breath." David Hollingworth, spokesman for mortgage broker London and Country, said: "What's crucial is that it builds some momentum and starts delivering properties quickly." He said recent changes to taxes paid by landlords had led to concerns that rents could be pushed up, making it harder for renters to save for a deposit.
Rachel Springall, a finance expert at website Moneyfacts, said: "There is still so much more that needs to be done to fix the housing crisis.Figures from the Council of Mortgage Lenders (CML) show first-time buyers typically borrow around three and-a-half times their income to get on the property ladder and put down a deposit of just under 16%. Asked whether there would be a loan-to-income cap for mortgages offered under the initiative, a spokesman for the Department for Communities and Local Government (DCLG) said further details would be announced about the plans "in due course".Mark Hayward, managing director of the National Association of Estate Agents (NAEA), said: "Today's announcement may feel like a welcome start to the new year, but, as always, we need to see these plans put into swift action.Several fire pumps drew water from the waterway alongside and two ‘cherry picker’ aerial platforms tackled the blaze from above.Environment Agency staff set up temporary dams on the pub’s car park to prevent polluted water from the building finding its way back into the canal.Lisa Callum, mitigating, said Baty had had a unique upbringing with “liberal parents”, who had exposed him to pornography from a “very young age”.A MASSIVE fire destroyed a canalside pub, microbrewery and restaurant which recently underwent a £1million renovation.A "VULNERABLE and fragile" man starved to death four months after most of his benefits were stopped and he was left with just £40 a week to survive on.Atos Healthcare – which assesses peoples’ ability to work on behalf of the Government’s Department for Work and Pensions (DWP) – assessed that 44-year-old Mark Wood, from Bampton, was fit to work.The first areas will begin construction later this year along with sites supported by the Homes and Communities Agency.But shadow housing secretary John Healey said: "These so-called starter homes are a symbol of the Conservative record on housing.