Stamp duty - Abolition gives hope to economy

THE Government is to be commended for moving swiftly to honour its pre-election pledge to abolish stamp duty for first-time buyers.

While the Fianna Fáil package is more modest than those promised by other parties, it will bring welcome relief to vendors and those seeking a foothold on the property ladder. They will be relieved to see this issue topping the coalition’s agenda.

Arguably, the main reason for fast-tracking the bill through the Dáil and the Seanad is to restore stability in the property market.

Following the proposal by former justice minister Michael McDowell to abolish stamp duty uncertainty has gripped the construction industry as house sales have fallen and interests rates have risen.

Hopefully, the stamp duty initiative will go some way towards steadying the market at a risky time for an economy dangerously over-reliant on the construction industry.