The party, riding high in the opinion polls, wants to get rid of the exemption from VAT on newly built properties.
It says it will bring a tax of ‘at least five per cent’ although it has previously suggested it could be as high as seven per cent.
At five per cent, the levy would add £10,000 to the cost of the average £200,000 new property, and £14,000 at seven per cent.
The Conservatives, who have been combing the Lib Dem manifesto to try to win back lost ground, warned the measure would pile yet more pressure on first-time buyers.
The number of first-time buyers has fallen by more than half in just five years and is now at a record low, new figures show.
Conservative housing minister Grant Shapps said it was a ‘tax bombshell’ for young people, many of whom struggled to find a typical 25 per cent deposit. House builders also opposed the tax, while Labour said it was ‘bewildered’ by the idea.
Surely first time buyers need as much help as they can get when it comes to purchasing there first property and not more proposed taxes being added onto the purchase price.
Graham Boyce, Director, Wrights Estate Agents, Stevenage