Speculation that the Stamp Duty Land Tax holiday/reduction could be extended

Ahead of next week’s Budget, it looks like the Chancellor has answered calls to extend the Stamp Duty Land Tax (SDLT) holiday deadline for three more months until the end of June, according to an interview the Times has published with Mr Sunak.

The news comes after data from property portal Rightmove estimated that 100,000 householders faced missing out on the tax break as they scrambled to complete their purchases ahead of the deadline, which was originally on 31st March 2021.

The Stamp Duty holiday was announced last year as a way of keeping the property market afloat. It meant homebuyers in England and Northern Ireland paid no Stamp Duty on the first £500,000, saving many households up to £15,000 in tax.

It appears to have had the desired effect, as house sales are reportedly at their highest level since before the 2007 financial crisis. HMRC has also reported that 129,400 transactions went through in the UK in December, compared with 87,040 in 2019.

With stats as high as these, industry experts are now urging the Government to use this as an opportunity to overhaul, or even better, scrap the tax altogether on primary residence.

We are still keeping an eye out for the details and watch closely on the day of the Chancellor’s Budget, so that we can bring you all the latest updates and information.

In the meantime, if you would like some help and advice relating to your property purchase, contact Downs Solicitors to see how we can help.