Buy now pay later plans for stamp duty

Stamp Duty payments may be deferred as part of a boost for the housing market if rumors on the Governments economic plans prove true.

However, in an interview with the BBC,Chancellor Alistair Darling said that the government is considering ‘a number of measures’ to help people during the economic downturn. However, he didn’t rule out such a plan.

Currently, those buying a home costing between £125,000 and £250,000 pay 1% stamp duty at the time of sale. Homes costing more than £250,000 pay 3% and homes costing £500,000 or more incur a 4% rate.

The move has been done before, back in 1991 when the then Conservative governement deferred stamp duty payments to rejuvinate the house market.