First-time buyers to get extra mortgage-interest relief

Minister for Finance Brian Cowen is reportedly set to resist pressure to introduce reforms to the stamp-duty regime in Wednesday's Budget.

Reports this morning say the minister will instead double the level of mortgage-interest relief for first-time buyers.

Single people will reportedly be able to claim relief of up to €8,000 at the 20% tax rate, while couples will enjoy a €16,000 threshold.

Elsewhere, this morning's reports say Mr Cowen will also cut the top rate of tax from 42% to 41% and to increase income-tax credits by up to 13%, taking thousands of low earners out of the tax net.