The Finance Bill (No 2) Bill published today is a missed opportunity to reform stamp duty for families who need to move homes as a result of change of circumstances.
In addition, the decision to abolish stamp duty for all first time buyers, regardless of the value of the house, means that the benefit will be skewed in favour of the super rich.

While the proposals for stamp duty reform put forward by the Labour Party were carefully drafted with a view to assisting hardworking families trying to enter the housing market, the open ended Fianna Fail proposal will provide a huge windfall for very wealthy individuals.

Our proposal was to raise the threshold for first time buyers from €317,500 to €450,000 with duty payable only on the excess over this threshold. We also proposed to restructure stamp duty for other buyers to make the system fairer.

On the other hand, the Fianna Fail decision to abolish stamp duty for all first time buyers, regardless of the value of the property, will be an early Christmas present for the super wealthy. A wealthy businessman, who previously has been renting, but decides to buy a house for €3m will stand to save around €270,000, thanks to Fianna Fail. This is as much as the cost of some affordable houses.

Having resisted all calls for reform of stamp duty, we welcome the Fianna Fail u-turn that will ensure some relief for first time buyers. However, no assistance at all is being offered to families who have to trade up as a result of a change of circumstance, for instance a couple who originally bought an apartment but have to move to a house on the arrival of children. They will continue to have to endure penal levels of stamp duty.