§ 16. Mr. Joel Barnettasked the Chancellor of the Exchequer if he will make a statement on the tax relief allowed on mortgage interest, with particular reference to the effect of the present interest rates on the option mortgage scheme.
§ Mr. NottNo. The subsidy to option mortgagors is designed to provide a benefit similar to the tax relief available to a basic rate taxpayer with an ordinary mortgage. Option mortgages will come within the scope of the arrangements for the temporary bridging grant for building societies announced by my right hon. and learned Friend the Secretary of State for the Environment on 5th April.