On Friday 23rd September 2022, former Chancellor Kwasi Kwarteng outlined his plans for the economy during the ‘mini-budget’. This included changes to stamp duty, tax cuts and other measures aimed at boosting the nation’s finances.
Stamp duty is a tax you might have to pay when you buy a new home. You usually pay Stamp Duty Land Tax (SDLT) on increasing portions of the property price when you buy residential property, for example a house or flat. The amount you pay depends on when you bought the property and how much you paid for it.
- All buyers will pay zero stamp duty on the first £250,000 of a residential property purchase
- First time buyers no longer need to pay stamp duty on the first £425,000 of a residential property purchase
- First time buyers will get the above discount (relief) on properties up to £625,000 as opposed to the previous £500,000
What it Means to Buyers and Sellers
According to the Chancellor, these measures will reduce stamp duty bills across the board for all movers by up to £2,500 with first-time buyers able to access up £11,250 in relief. The announcement came less than 24 hours after the Bank of England raised the interest base rate to 2.25%.
Sims Williams are experienced, independent estate agents with offices in Chichester, Bognor Regis, Walberton and Arundel. Call us on 01243 787868 to find out more about what the stamp duty changes mean for you.