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GARIOCH COUNCILLOR COMMENTS ON VAT MOVE

>> 24 May 2010

Commenting on an announcement today by Housing Minister Alex Neil that the SNP Scottish Government will lobby the Westminster Government to stop the proposal to add VAT to the cost of new houses, the Aberdeenshire Council group has described the addition of VAT to new homes as a very negative move at a time when the housing industry is on its knees thanks to the banking crisis.

Commenting they said:

"This Lib Dem policy must be one of the most damaging to have been hatched at a time when the Banks and Building Societies are demanding higher deposits. Young couples and other first time buyers will find the addition of VAT to new houses as unaffordable and could force more people into the rental market.

"Just because VAT is charged on house extensions this is no justification for adding VAT to new builds. I am pleased to see the Scottish Government standing up for new house buyers at a time we all household budgets are under increasing pressure."

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