Darling Announces Stamp Duty Freeze Stamp Duty 02.09.2008 The Chancellor has announced that homes worth £175,000 or less are to be exempted from stamp duty for 12 months as part of a package to revive the flagging housing market.The change, which comes into effect on September 3, raises the threshold on which 1% stamp duty is paid from its current level of £125,000.The move by Alistair Darling will save eligible home-buyers up to £1,750 when they purchase a property, and relates only to buildings entirely for residential use.In a statement, the Treasury said: "The Chancellor of the Exchequer has announced that stamp duty land tax will not apply to purchases of residential property of £175,000 or less."This will provide an exemption from stamp duty land tax for land transactions consisting entirely of residential property where the chargeable consideration is not more than £175,000."The Treasury estimates that the one-year stamp duty freeze will cost the Government £600 million - suggesting that it expects about half a million home-buyers to benefit from the change.About half of the 90,000 home purchases completed each month are on properties worth £175,000 or less, but deals below £125,000 are already exempt from stamp duty.The average price of a home in the UK was just under £165,000 in August, according to the Nationwide Monthly House Price Index.Copyright © PA Business 2008Phillip Bullivant from the Conveyancing team at law firm Irwin Mitchell said: "In the light of the current market difficulties this is a welcome initiative on the part of the Government although locally an increase in the banding levels may not be as significant as expected. The Governments lending and social housing initiatives may well have a greater impact for First Time Buyers." Press contact James Clarke Press Officer +44 (0)161 838 3169 Email James Related articles 19.06.2018The New Tax Evasion Facilitation Offence 19.06.2018Legal Challenge To Inadequate Care ‘A Wake-Up Call To The NHS’ 18.06.2018Family Of Former College Cleaner Appealing To Ex-Colleagues For Help Following Cancer Death 18.06.2018Family Law Team Ranked Number One 18.06.2018London Drives UK Tourism But Other Regions Attracting Attention 18.06.2018Omnichannel And Experiential 'Key To Retail's Future Success'