Stamp Duty Benefits Questioned
Doubt has been cast over the benefits of increasing the stamp duty bracket from £125,000 to £175,000, which was announced by Gordon Brown yesterday. Experts state that a massive increase in house purchases needs to occur in order for taxpayers to achieve the savings of £600 million that has been forecast.
Bank Holds Interest Rate Again
The Bank’s monetary policy committee has once again held the middle ground for the base rate, holding it at 5%, the rate since April. Despite calls for the rate to be reduced, the MPC has obviously decided that it could not add further risk to inflation.
Mortgage Rates Cut
A number of mortgage providers have, or are expected to, reduce the interest rates on the products they offer – a far more positive move than earlier in the year when costs were rising steadily.
Stamp Duty Holiday Arrives
The Government has announced that the starting threshold for stamp duty will be temporarily increased to £175,000. The measure comes into force on 4 September. It is said to be to help individual families in these difficult times.
Helping Hand For First-time Buyers And Struggling Home Owners
Brown will attempt to win back opinion polls by unveiling a scheme that provides immediate action for those worst hit by the economic downturn. His positive outlook for the future is in stark contrast to Alistair Darling’s recent analysis of the British economy and is likely to divide the party even further.
Check In For Mortgage Cover Now
With the threat of redundancy growing in the UK, insurers are making life harder, especially for those in jobs affected by the credit crisis. It is worth checking your payment protection position now.
Mortgage Competition Is On The Way Back
As Alliance & Leicester cut many of its fixed rate mortgages this week, it really does seem like mortgage competition has been re-joined. A&L is owned by Banco Santander which also owns Abbey, and is pushing aggressively into the UK mortgage market.
Recession Looms Says Economist
With Britain’s GDP growth now at zero, Capital Economics is forecasting a recession this year and next. The Treasury takes a more optimistic viewpoint. Inflation is set to come down in 2009.
Better News From the US
There are one or two signs of improvements in the US housing market, and there have been improving consumer confidence scores too. Hopefully the goods news will travel from the US to the UK.
Mini Mortgage Price War Breaks Out
It appears a mini price war has broken out between lenders - good news for consumers. There is even one rate below 5% for two years, but watch out for the fees.
