HALIFAX and Northern Rock are making it more difficult for first-time buyers to get mortgages, undermining the cut in stamp duty announced last week.
The government unveiled an increase in the stamp duty threshold for property purchases by first-time buyers — from £125,000 to £250,000 — effective from last Wednesday.

In response, Northern Rock, the nationalised bank, cut rates for buyers with a 15% deposit. However, just days earlier it had moved to prevent those who want mortgages on an interest-only basis — mostly first-time buyers — from borrowing more than 75% of the house price in a significant change to its policy.