08.06.2018 Almost 70,000 first-time buyers have benefited from stamp duty relief

08.06.2018 Almost 70,000 first-time buyers have benefited from stamp duty relief

On 22 November 2017, Chancellor Phillip Hammond announced that Stamp Duty would be abolished for properties worth up to £300,000, as part of the government initiative aimed at easing the challenges facing aspiring homeowners and at getting more people on a housing ladder. Additionally, a partial discount now applies to the first £300,000 for properties worth up to £500,000 purchased by first-time buyers.

At the time, Hammond said the move would bring savings for 95% of first-time buyers who end up paying stamp duty, whilst 80% of first-time buyers would pay no stamp duty at all, saving them up to £5,000.

The latest figures revealed that nearly 70,000 first-time buyers have benefited from the Government’s abolition of stamp duty tax on properties under £300,000 since it was introduced by the Government last November.

Official statistics show that £159 m in stamp duty has been saved by first-time buyers since the exemption was introduced last year, half of this saving (49%) was seen in London and the South East. The average amount saved by first-time buyers was £2,300 across the country, whilst in London, the average was £4,300.

The Government estimates that over the next five years, the changes will help over a million people get onto the housing ladder since those who purchase properties of up to £500,000 will benefit from a stamp duty cut.

Paymaster General and Financial Secretary to the Treasury, Mel Stride said “I’m proud that the cut to stamp duty for first time buyers is helping to realise the dream of home ownership for a new generation, alongside building more homes in the right areas, and generous schemes such as the Lifetime ISA and Help to Buy”