Chancellor mulls SDLT cut for first-time buyers

Hammond is considering “bold measures” to “restore intergenerational fairness” to the housing market

As the Autumn Budget looms closer, it’s being reported that Chancellor Hammond is thinking about hacking stamp duty rates for first-time buyers.

A “big cut” in SDLT for first-time buyers is one of a suite of “bold measures” being considered by the Treasury, reports the Evening Standard, in a bid to “restore intergenerational fairness”.

The not-so-subtle strategy to win-over some younger voters to the Conservative cohort, was apparently put forward by backbenchers, and could involve a flat rate of 1% for first-time property purchases…

“The Budget is a good opportunity to seize the political initiative domestically through bold measures on issues like housing,” a Tory insider told the Standard, which is edited by former Conservative Chancellor George Osborne. “A stamp duty cut for first-time buyers would help all those in London whose starter homes are above the threshold of £125,000.”

Recent research by Hometrack found that the number of first-time buyers in London has fallen by 12% since 2014, to 42,400 in the last 12 months. At just 12% of property purchases in the capital, the proportion of FTB’s in London is now at its lowest level since 2000 (12%) and before that 1991 (11%).