NAEA wants end to stamp duty uncertainty

Signs that the property market is beginning to stabilise, but uncertainty over stamp duty could slow recovery, the National Association of Estate Agents (NAEA) has warned.

Latest data from the Royal Institution of Chartered Surveyors (RICS) indicated that while more surveyors reported falls rather than rises in house prices, new buyer enquiries and new seller instructions in July, there was some improvement on all three fronts.

The NAEA has responded that although consumers are still struggling in this market, RICS's report did suggest that the recent decline in house sales could begin to level out and that market conditions could become marginally better in the near future.

However, it argued that the mixed messages the government is giving out over stamp duty could damage any growth in confidence in the sector, warning that some buyers and sellers are already adopting a 'wait-and-see' approach as a result.

Chancellor Alistair Darling hinted last week at the possibility of a stamp duty holiday, but with no clarification due until October's pre-budget statement, his comments have been derided as irresponsible by members of both the Labour and Conservative parties.