Autumn Budget Summary "Stamp Duty"
Posted by centro on Wednesday 29th of November 2017. Comments
Autumn Budget 2017
As expected with Brexit looming, Philip Hammond delivered a fairly non-descript Budget with only one or two small surprises. The highlights of most relevance to those in the financial planning industry are detailed below.
Stamp Duty Land Tax
Stamp duty has been abolished on homes under £300,000 for first-time buyers and they will not pay stamp duty on the first £300,000 for homes worth between £300,000 and £500,000. They will pay the normal rates of stamp duty on the price above that. This will save £1,660 on the average first-time buyer property. This change is effective from 22nd November 2017.
The Office for Budget Responsibility has said that the stamp duty cut will push house prices up. It says it expects this policy to increase prices by 0.3% with most of this effect occurring in 2018.
SDLT – The government will amend SDLT higher rates for additional properties with immediate effect. The changes will benefit those increasing their share of their own home, families affected by a divorce court order, and cases where properties are held in trust for children subject to Court of Protection orders. The government will also remove a potential opportunity for avoidance.