Stamp duty woes for home movers

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)