Rishi Sunak’s six-month extension of the government’s stamp duty holiday prompted a fresh surge in demand for home loans, according to the latest figures from the Bank of England.
Threadneedle Street data showed that in April – the month after the chancellor’s budget announcement – the number of mortgage approvals climbed from 83,400 to 86,900, the first monthly increase since November.
The chancellor had originally planned to end the tax break on homes of up to £500,000 at the end of March, but instead decided to phase out the scheme in two stages in June and September.
Analysts said the decision had provided an extra boost to an already strong housing market, with estate agents reporting rising buyer interest.
Written by Larry Elliott Economics editor
Source The Guardian
