Darling Refuses To Rule Out UK Stamp Duty Relief

by Robert Lee, Tax-News.com, London

06 August 2008

Chancellor of the Exchequer, Alistair Darling, has refused to confirm or deny reports in the UK media that the government is planning to suspend stamp duty on house purchases as it searches for ways to arrest a slow down in the country's economy.

Speaking on BBC Radio 4's Today programme on Tuesday, Darling hinted that a temporary stamp duty suspension may form part of an economic stimulus package designed to help boost the depressed housing market and counter the effects of rising energy and food prices.

"I am looking at a number of measures," the Chancellor revealed.

However, when pressed on the proposal, which was first reported in the Sun newspaper, Darling remained tight-lipped.

"I'm not going to be drawn on that today because we have not concluded what exactly we need to do," he said, adding that: "I want to look at a range of options that will help people."

Subsequent reports have suggested that the government is examining the idea of deferring, rather than suspending, stamp duty, so that house buyers would still have to pay the tax, but at a later date.

The government is also said to be considering a proposal for new tax-free savings accounts designed specifically to help first-time home buyer save for a deposit.

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