September 4, 2008
Stamp duty suspended
In a move designed to help reverse the decline in the housing market the government has announced that it will suspend stamp duty for 12 months on houses that cost less than £175,000. The stamp duty holiday is expected to help mortgage applicants who are already being hit by the effects of the credit crunch.
Economic analysts have generally welcomed the attempt by Alistair Darling to fight the current housing slump.
Additionally, Communities Minister Hazel Blears has announced that the government will launch a mortgage rescue package to help vulnerable families stave off repossession and a shared equity scheme designed to assist first-time buyers.
Blears added that these schemes are not aimed at helping those people who have recklessly mismanaged their finances but is appropriate for those householders who have suddenly found themselves in a difficult position despite their best efforts.