PBR: Darling not extending stamp duty holiday
Chancellor Alistair Darling has not extended the stamp duty holiday due to end on December 31.
Speaking during his pre-Budget report today, Darling failed to mention an extension of the stamp duty holiday, which is set to return to £125,000 next year.
When it ends on December 31 Darling said the holiday will have helped 240,000 home buyers.
However, reallymoving.com director, Rosemary Rogers says the Chancellor’s decision could stagnate the housing market.
Rogers says: “With no incentive to buy and the difficulties in securing mortgage finance, the end of this holiday could well see the housing market stagnate in the new year.
“New measures must be introduced to help the lower end of the market and keep people moving, without first-time buyers, who are the lifeblood of the market, the small recovery that has been made to date will simply be wiped out. “
Mortgages for Business managing director David Whittaker says the end of the stamp duty holiday comes as no surprise, and adds: “The fact of the matter is that the stamp duty holiday didn’t actually do a great deal to support the market.
“Cash rich investors and those lucky enough to have large deposits have been propping up the market for much of the last six months.”