House sale LBTT tax

In order to get the housing market going and houses that were on the market before lockdown sold, address the LBTT penalty. Maybe by increasing the threshold of £250k 2% band up to £325k and the 5% band from £325 to £500k before the 10% band kicks in. Even if this was initially for a fixed term, like one year, it could kickstart the economy in this sector. It could also only apply to properties that were on the market before lockdown making space for subsequent new marketing.

Why the contribution is important

This would speed up the turnover of properties and enable significant LBTT tax to come in, encourage people to be hiring decorators/ plumbers/ electricians etc to improve properties (with incoming tax accordingly) and encourage DIY projects that again would bring in VAT benefits to the treasury.

by Dugald on May 08, 2020 at 09:46AM

Current Rating

Average rating: 3.2
Based on: 7 votes


  • Posted by CarrieFortune May 09, 2020 at 11:22

    Agree to kickstart economy we need incentives for house sales and construction. They are only just recovering from 2008 and recession. This could trigger a longer period of recession. Keeping property prices relative and sales up is essential. LBTT is too expensive as a 250k house is not a huge house now it’s average. Keep construction industry going and building and it keeps economy and growth going. there could also be more incentives for fitting energy saving heating boilers systems in homes.
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