Chancellor unveils Stamp Duty holiday
Chancellor Rishi Sunak has today confirmed that the Stamp Duty threshold will be increased to £500,000 immediately until March 31 2021.
Written by: Richard Antrobus Category: News July 8, 2020
Sunak confirmed rumours of the Stamp Duty(SDLT) holiday during his summer economic update this afternoon.
The aim is to boost the housing market and the wider economy to help the UK recover from the consequences of the coronavirus pandemic.
Following the Chancellors announcement the Stamp Duty Land Tax threshold has now been raised to £500,000. Therefore if you are looking to purchase a property below £500,000 you will NOT PAY ANY STAMP DUTY. This incentive is only until 31 March 2021.
It comes after the property market was effectively closed between the end of March and mid-May.
The Chancellor claims that this means nine out of 10 main homes sold between now and the end of March, will be exempt from SDLT.
No details have been released in the Chancellor’s speech to MPs about additional homes or higher levels of SDLT for homes above £500,000.
On the wider outlook for the economy, Sunak has told MPs the country faces “profound challenges” and says “although hardship lies ahead, no one will be left without hope.”
Higher rates for additional properties
The 3% higher rate for purchases of additional dwellings still applies on top of revised standard rates above for the period 8 July 2020 to 31 March 2021.
On the 1 April 2021 the reduced rates shown in the above tables will revert to the rates of SDLT that were in place prior to 8 July 2020.
Check your stamp duty
To establish the amount of stamp duty payable on your purchase, please visit our stamp duty calculator.
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