Government To End Stamp Duty Break For First Time Buyers

 

Chancellor George Osborne has refused to extend the Stamp Duty holiday for first-time buyers despite strong lobbying from the estate agency and mortgage industries.

The decision has provoked anger from critics suggesting that the Government is doing the opposite of its previous stated intention to kick-start the housing market.

The Government, however, says the Stamp Duty break has proved “ineffective” and it will end as planned on 24 March 2012.

The Royal Institution of Charted Surveyors (RICS) warned that ending the Stamp Duty holiday could distort the market with a mini 'boom and bust'.

It said: “By choosing to end the relief in four months rather than immediately, there is a clear risk that there will be a spike followed by a dip in the housing market as buyers rush to take advantage of the relief before March.”

It added that it was “hardly surprising” that the Stamp Duty break had failed to help first-time buyers, given the lack of affordable mortgages and homes on the market.

After abandoning the Stamp Duty concession, the Government will instead concentrate on other measures announced in its new housing strategy, notably the controversial mortgage indemnity scheme which it is now fleshing out the details of.


<--- return to news section

property agency training - property practice course

 

4 Everything Property4 Everything Property - UK Property Directory

4 Everything Property is a UK property directory bringing you the latest property news and resources. Register now for FREE newsletters and updates. Plus, if you are a property agent or property industry service provider you can also advertise in the directory for FREE.

 

© 2005-2012 Property Agency Training - Design by The Business Ladder (UK) Limited | Legal Information | Site Map