Mortgage experts are disappointed the Government is not extending the stamp duty holiday for first-time buyers, saying it will delay some people buying a property.
In the 2010 Budget, then Chancellor Alistair Darling announced that the stamp duty threshold would double from £125,000 to £250,000 for FTBs until March 24, 2012.
Delivering his autumn statement on Tuesday, Chancellor George Osborne called the stamp duty holiday “in-effective” in increasing the number of FTBs and said the holiday will end, as planned, next March.
The announcement comes just over a week after the Government revealed details of its housing strategy, which included a Government-backed mortgage indemnity scheme to help more FTBs.
Building Societies Association director general Adrian Coles says: “It provides an additional barrier that first-time buyers need to overcome and despite the recent welcome housing strategy announcements, it feels as though the Government is giving with one hand while taking away with another.”
London & Country associate director of communications David Hollingworth says: “The scheme was helpful for first-time buyers. If they now have to find this extra money, it might take the shine off some of the other measures announced in the housing policy statement and delay some people buying.”