On 8th July Chancellor, Rishi Sunak confirmed that the Stamp Duty threshold would immediately increase from £125,000 to £500,000, a change that will run until 31st March 2021. The changes apply to all residential purchases and will benefit all types of buyer. Property investor, Rex Ekaireb commented on these changes to Stamp Duty: “These changes are a really positive move by the UK government to get the property sector back on its feet. The industry has been hit so hard by the pandemic that something had to be done to help all those in what is one of the UK’s largest industries for investment.”
Ekaireb continued: “Cutting this tax is a great way to get people transacting in the property market, particularly in the case of first-time buyers, who will otherwise find it incredibly difficult.”
According to the Chancellor, this will reduce the average Stamp Duty bill by around £4,500, a welcome holiday indeed. But despite the changes affecting all types of buyer, there will still be a disparity between what some landlords will pay compared with a standard homebuyer.
