“Make the stamp duty rumours a reality” – Private Finance responds to Boris Johnson’s election
Shaun Church, Director at Private Finance comments:
“Brexit will be top of Boris Johnson’s to-do list, but other crucial issues facing the domestic agenda must not be overlooked – one of which is the UK property market. Activity in the housing market is falling* and in desperate need of a stimulus. Rumours of a stamp duty overhaul have been circulating for some time now and we urge Johnson to make these rumours a reality and re-galvanise the property market, which is after all a crucial asset of the UK economy.
“For too long stamp duty has stagnated the UK housing market. Last-time buyers in particular remain stuck in homes too large for their needs that are too costly to give up. We’re calling for a last-time buyer exemption to be included as part of Johnson’s stamp duty overhaul, encouraging empty nesters to downsize to homes more suited for their future needs, freeing up crucial housing stock for the wider property ladder.
“With stamp duty receipts down 20% annually,** the government is fast becoming a victim of its own policy. Minimising tax liabilities would encourage more people to move, sparking a chain reaction of property transactions which in turn would lead to a surge in receipts for the government. With both the Treasury and UK homeowners likely to benefit from this policy, it could be a quick political win for Johnson.”
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Very interesting comments here but your article fails to highlight other income Government will receive through lower Stamp Duty e.g. VAT – furnishings & professional costs, or Income Tax & NI through increased demand for professional services, rather than current position stymying all markets.
Andrew Penfold, Partner, Parfitt Creswell Solicitors