UK suspends stamp duty on homes ,while Ireland does nothing .
Stamp duty is to be suspended on sales of houses worth 175,000 or less in Britain in an effort to revive the housing market there.In the mean time in Ireland the Irish Government are conspicuous by there silence and business confidence continues to slide . In these times we need leadership and a Government that is innovative and proactive ,yet all we are getting from our Minister of Finance is silence . There is talk that the Irish Government are going to make an announcement on the state of the economy this month . It better be good as the have lost a lot of momentum ,they would be wise to take there lead from what is happening in the States and the quick response there to the economic crisis .
In the meantime the following is a summary of what was announced in the UK yesterday ,at least someone is making an effort .
The suspension will last for a year from tomorrow, Chancellor of the Exchequer Alistair Darling announced this morning.
The change raises the threshold on which 1pc stamp duty is paid from its current level of 125,000.
The move will save eligible buyers up to 1,750 when they buy a home.
In a separate announcement, the UK government is to spend 200m to pay off mortgage arrears of “decent” families who have fallen into mortgage arrears and a further 100 million to pay their mortgage interest.
Under the terms of the initiative, a housing association will step in to clear the mortgage debt of homeowners hit by unsustainable mortgage bills or sudden unemployment.
The occupiers will then pay rent at an affordable level to the housing association.
Alternatively, the social landlord would buy a share in the threatened home - allowing some of the mortgage to be paid off - or provide a bridging loan to allow payments to be reduced. The intention is to help tens of thousands of homeowners, provided they have not “acted recklessly or irresponsibly”. There is also to be an expanded shared equity scheme for potential first-time buyers and a big boost in funding for affordable housing. The entire series of measures unveiled today is expected to cost about 1 billion.