Nationwide savings and mortgages happy with Budget

Nationwide Building Society's savings and mortgage wings have welcomed this afternoon's Budget.

Gordon Brown set out plans to raise the stamp duty threshold from £60,000 to £120,000.

He also gave savers a boost by holding the top limit for tax-free ISA investment at £7,000 until 2010, The original plan was to drop the limit to £5,000 at the end of this year.

Commenting on the stamp duty change, Nationwide's chief executive, Phillip Williamson said: "We are delighted that the Chancellor has announced an increase in the stamp duty threshold, something for which we've been campaigning since 2003. This will be a welcome boost to the housing market.

"The average house price in the UK is now more than £152,000 so this increase in the threshold will mean more than 50% of first time buyers will be exempt from stamp duty.”

Mr Williamson was also pleased with the extension of ISA limits "We are delighted that the Chancellor has decided to extend the ISA limits to 2010 - this is great news for savers.

"Giving people the chance to earn good rates of tax-free interest for a further five years could really boost the amount they save."