A new tax relief scheme has been launched to help first-time buyers purchase their first home.

The Land and Buildings Transaction (LBTT) First Time Buyer relief ensures that around 80% of first-time buyers will pay no tax.

The relief will help raise the zero tax LBTT threshold for first-time buyers from £145,000 to £175,000.

First-time buyers buying a property above £175,000 will also benefit with a £600 reduction in tax.

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Minister designate for Public Finance and Digital Economy Kate Forbes said: "From today, around 80% of first-time buyers will pay no LBTT, helping thousands of people across the country buy their first home.

"Our progressive approach to the setting of LBTT rates and bands prioritises support for first-time buyers and helps others as they move through the market.

"Alongside our shared equity schemes, the introduction of this new relief provides further support to first-time buyers and delivers on the commitment made by the Scottish Government as part of the 2018/19 Scottish budget."

The Scottish Fiscal Commission has independently estimated that this policy will benefit around 12,000 first-time buyers each year.

(CM/MH)