Savills Private Finance is disappointed that Gordon Brown's
pre-budget speech yesterday did not take the opportunity to introduce
a fairer stamp duty regime.
Savills believed that the current system of banded rates is hindering
sales of properties valued at around the banding levels, particularly
the £250,000 band at which stamp duty jumps from one per cent to
three per cent.
Associate director Simon Jones says: “People whose properties are
valued at just above £250,000, for example, are finding it very difficult
to sell because buyers just don't want to pay the huge stamp duty
which is incurred above this level. Fairer treatment would be to
introduce a tiered rate so that you only pay the higher level of stamp
duty on the amount above the threshold. This would be a significant
saving for the individual and I suspect, given the average house price
of £100,000 or so, a fairly small dent in the Chancellor's coffers.”