UK stamp duty shockwaves continue

Ongoing uncertainty over the future of UK stamp duty tax is still affecting the property market, an industry body says.

Earlier this month speculation mounted that buyers could be given a ‘holiday’ from the charges after government officials refused to rule out such a move.

Denials from the Treasury followed, with other officials apparently then again saying the tax’s future was uncertain.

Estate agents now believe the confusion has hit the already-struggling housing market, with buyers pulling out in anticipation of stamp duty being dumped.

The National Association of Estate Agents (NAEA) has conducted a new poll of its members which shows 92 per cent of them think the indecision had increased consumers’ concerns.

A total of 98 per cent of agents believe confidence has been further damaged, with 56 per cent of them saying they have lost at least one sale since the confusion began.

NAEA chief executive Peter Bolton King said:

“This just isn’t good enough. The housing market is in a very serious position and we need serious action.

“The figures show that it is agents and consumers that are bearing the brunt of this indecision and while we need a planned and managed response from the government we also need it quickly.”

Several home builders have gone on to offer to pay stamp duty for buyers in an effort to take the sting out of the crisis.

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