Ken Culley CBE, Former Chief Executive of Portman Building Society, and former Chairman of the Building Societies Association, calls for the government to immediately stop the present Stamp Duty Land Tax on the purchase of homes and instead impose it on the sale of homes.
“By switching stamp duty to sellers, all first time buyers will be totally freed of this significant tax burden. This will help stimulate the present beleaguered housing market. The Government would also not lose any significant tax revenues as the vast majority of sales mirror a purchase.
“In addition to permanently abolishing stamp duty for all first time buyers, it reduces the tax burden for homeowners seeking to trade up, as the tax burden will be based on the lower priced home sale. While homeowners trading down will pay more tax, they will have the benefit of the net proceeds to afford the tax.
“The Government’s present stamp duty holiday initiative is misconceived as any benefits will be both little and short lived. Further a detrimental effect is likely when it is reimposed in a year’s time. For an initiative that is likely to cost already struggling taxpayers millions of pounds in lost revenue this move is truly a complete waste of time and money."
