Nick Clegg, fresh from his apology over tuition fees speaking to Andrew Marr on the BBC from the Liberal Democrat’s party conference, has apparently come up with the brilliant idea that we should allow parents and grandparents to use part of their lump sum from their pension entitlement to pay the deposit on their children’s property purchases.
Since they can in fact give the cash they take out tax free to whomsoever they choose, I take it his actual “idea” (I use the term loosely) is to give them some tax incentive to do so.
The “idea” of people who mostly already have inadequate pension provision using part of it to give their children a stake in what are almost certainly still over-priced houses in the UK beggars belief.
It is yet another example of the obsession which UK politicians have with house prices. They seem not to have figured out that the problem would just be solved if house prices were allowed to decline. Then more young people could afford housing.