Docklands News

Stamp duty has evolved into a significant financial burden for millions of home movers, writes Mattie Brignal in the Daily Telegraph. Chancellor Rachel Reeves recently increased the rate for landlords and second homebuyers from 3% to 5% and reduced the basic threshold for paying 2% tax from £250,000 to £125,000. He says this change is expected to affect 83% of movers, adding an average of £2,500 to their costs. Brignal adds that the average stamp duty bill has risen to £2,979, and projections indicate it could reach £7,391 by 2029. Adrian Anderson, of mortgage broker Anderson Harris, says that stamp duty acts as a “big barrier” for people wanting to buy their first home or trade up. He said: “Stamp duty is painful and extremely unpopular, especially for first-time buyers who already have to stretch themselves as much as they can to afford a deposit, as house prices are high relative to incomes." 

The Daily Telegraph (09/11/2024)  

Plans have been submitted to redevelop the site of a Bow tower block that was evacuated in 2021 after inspections revealed it could not “be kept safe without major refurbishment or demolition”. The proposals to knock down Clare House and replace it with a 23-storey residential development were submitted by HTA Design on behalf of landlord Clarion. Clare House was built in 1968 and was originally one of a group of three identical towers that previously formed part of the Monteith Road Estate.  The other two blocks were demolished in 2002 as part of a regeneration masterplan. 

Inside Housing (04/11/2024)  

The UK housing market remains resilient, with the average home price reaching a record high of £293,999 in October, according to Halifax's house price index. Despite concerns over Rachel Reeves's Budget, which may slow demand, Amanda Bryden, head of mortgages at Halifax, noted that "it was more noteworthy that prices had not fallen significantly" since June 2022. The Budget introduced higher stamp duty for second homebuyers and reduced the nil rate for first-time buyers, which could impact future demand. While Halifax anticipates continued price growth, it expects this to occur at a "modest pace" moving forward. In London the average property now costs £543,308, up 3.5% on last year.

BBC News (07/11/2024)   City AM (07/11/2024)   Daily Mail (07/11/2024)   The Standard (07/11/2024)  

According to HM Revenue & Customs (HMRC), home sales in September increased by 9% compared to the same month last year, with approximately 91,820 transactions recorded. This marks the first month-on-month rise since May, albeit a slight increase of less than 1% from August. 

Daily Mail (01/11/2024)   The Standard (01/11/2024)  

Home sales in the UK are expected to jump at the start of next year as buyers rush to purchase properties before the rise in stamp duty takes effect in March 2025. At the moment, buyers of homes worth less than £250,000 don't pay stamp duty. This was doubled from £125,000 under Liz Truss's mini-Budget in September 2022. The threshold is £425,000 for those buying their first property. This was raised from £300,000 as part of the mini-Budget. Nationwide predicts that the March change will impact one fifth of first-time buyers, although the overall effect may be less significant than previous changes due to high interest rates dampening market activity. Chief economist Robert Gardner said: "Affordability is also still relatively stretched at present," indicating ongoing challenges for buyers. The changes will primarily affect England and Northern Ireland, with less impact in areas with lower house prices. The average UK home price reached £265,738 in October, reflecting a gradual recovery in the market. 

The Daily Telegraph (01/11/2024)   The Guardian (01/11/2024)   The Standard (01/11/2024)  

The Royal Town Planning Institute (RTPI) has released a report highlighting the failure of planning rules over the past decade to connect new housing developments to public transport. Despite the National Planning Policy Framework (NPPF) aiming to prioritise public transport, walking, and cycling, the study found that 96% of new homes were within a 20-minute drive of a town centre, but only 66% were accessible by public transport and 47% by walking. The RTPI is urging ministers to consider changes to the NPPF to improve transport links as part of plans to create 1.5m new homes in the current parliament. Recommendations include increased investment in public transport and disincentives for car use. 

The Guardian (05/11/2024)