Rumours are rife that Chancellor Alistair Darling is to announce in today’s Budget that stamp duty will be scrapped on house purchases up to £250, 000 for first-time buyers.
If the Chancellor does go ahead, the move would cost the Treasury £1bn, at a time when public finances are in crisis but could transform the housing market.
After the success of the recent stamp duty holiday which expired at the end of the 2010 such a move would be a sure fire winner for first time buyers as well as estate agents.
Peter Bolton King, chief executive of the NAEA, said: “First-time buyers are central to a properly functioning housing market, so it makes good economic, social and political sense for Mr Darling to consider a one-off stimulus for First-time buyers, similar to the incentive scheme in the United States.
The raising of the threshold was fist suggested by the Conservatives in 2007. If Mr Darling is in the focused on stealing the Tories thunder will he also be minded to scrap the much maligned Home Information Pack ?