Temporary removal of stamp duty would result in more people moving home in UK
Some 30% of would be first time buyers would accelerate their plans to buy a home is stamp duty was temporarily removed, new research has found. As the housing industry calls on the British Chancellor Philip Hammond to boost the housing market in next week’s Budget research from specialist bank Aldermore has found stamp duty change could make an impact.
It is not just first time buyers who would welcome a temporary removal of the property tax paid by buyers. The research also found that 22% of people who has bought in the last three years would consider moving and 15% of those who bought over four years ago.
It also shows that 51% of first time buyers believe that extending the Government’s Help to Buy scheme would improve the housing market and 41% of all those surveyed want to see the Government support the creation of more social housing.
Some 35% would like stamp duty removed for older home owners to encourage them to downsize and free up more family sizes homes, 30% would like to see a relaxation of inheritance rules relating to property and 29% want more Government funding for infrastructure for housing developments.
‘With the property market at risk of coming to a standstill, we would welcome any plans, temporary or otherwise, that reduce stamp duty. Our findings show that a reduction in stamp duty would be particularly beneficial for first buyers who are struggling with an overly complex and costly system,’ said Charles McDowell, Aldermore’s commercial director for mortgages.
‘It is clear from the findings that the nation believes more needs to be done by the Government to improve the housing market. There are a number of measures the Government can implement to improve the current situation, and we want to see housing at the top of its agenda in next week’s Budget,’ he pointed out.
‘However, whilst it would be great for there to be changes in the tax system it can only have a limited impact, the underlying issue remains that more affordably houses need to be built,’ he added.