The Government has ruled out a stamp duty exemption for corporate investors.
The Government first announced a consultation on the exemption in the 2015 Autumn Statement, after it announced a 3 percentage point surcharge on second homes and buy-to-let properties.
The mooted exemption would have applied to investors with 15 or more residential properties, although the Government has now decided against any exemptions.
The new stamp duty rates come into effect on 1 April.
Today’s Government consultation response says: “On balance, following an assessment of the evidence provided in response to the consultation, the Government’s view is that the evidence suggesting that in the absence of an exemption there would be an adverse and material effect on housing supply is not compelling.
“Whilst the higher rates may have some effect on off-plan purchases, the Government’s view is that the overall effect on housing supply is not material and housing developments will remain attractive for corporate investors as well as potential home owners.”
It adds: “The Government has decided to apply the higher rates equally to all purchasers without an exemption for significant investors.”