Sunday, March 18, 2007

Beyond Stamp Duty

The proposals to attempt to reform the current stamp duty regime released by FG during the previous week drew some rather arched criticism from of all people the PDs. This is all very ironic as there is increasing evidence that it was McDowell's thinking aloud exercise that has provided the trigger to the general destabilisation of the housing market. It seems a sufficient number of people started to postpone purchases in the aftermath of his comments because they believed that something might happen in the budget and then when it didn't they've continued to hold off because they are now convinced something might happen after the election.

The key difference is that FG proposals would take affect in a planned, heavily signposted manner over the course of 3 years and announcing it within weeks of the general election are not going to put the brakes on the housing market. As others would point out being the leader of a party requires a completely different set of skills to being a leading figure in a party. This means to be something that McDowell appears to have failed to grasp as yet. And it remains to be seen with the election in the next two months if he will ever get the chance to learn it.

I'm going to do a follow up post on my own view of where we should go with stamp duty, local taxes and other fun topics.

No comments: