Prime Minister Andy Burnham has confirmed that Stamp Duty will not be reformed in the upcoming Budget. This statement dismisses weekend reports that suggested the tax was under review for abolition.
Speaking to Sky News, Mr Burnham stated: “That won’t happen in the next Budget.” The decision was influenced by concerns that speculation about potential changes could freeze the housing market, a situation reportedly experienced during previous considerations of similar reforms by former Chancellor Rachel Reeves.
The announcement comes amidst ongoing discussions about property taxation reform. Mr Burnham has previously supported proposals from Fairer Share, a campaign advocating for the replacement of Council Tax and Stamp Duty with a Proportional Property Tax. This scheme would involve an annual levy of 0.48% of a property’s value.
Earlier this month, Zoopla highlighted Stamp Duty as a “meaningful friction” for homeowners, particularly in Southern England where costs can reach five figures. Richard Donnell, Executive Director at Zoopla, noted that this can deter some existing homeowners from moving.