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Original poster

Stamp duty holiday extension

64 replies

Randomtasks · 22/12/2020 13:48

Speculative ofc but does anyone think its likely?

Friend of mine has just started the moving process thinking she had plenty of time but everything seems to be taking longer than expected.

Seems so wrong to just cut it off like that!

OP posts:

IamthatIam · 22/12/2020 14:01

Why is it wrong? Taxes need to be collected to plug the big financial hole we are in as a nation. The government cannot continue giving away and not replenishing the purse.

I would like it to go past March but I understand why it can’t continue for longer. Nothing wrong about that.

Original poster

Randomtasks · 22/12/2020 14:58

I suppose just because it's such a vast saving for a lot of purchases, it might make or break a transaction!

But you are right about the big financial hole of course.

OP posts:

IamthatIam · 22/12/2020 16:13

I’m desperate for my transaction to complete before March. If it doesn’t I will need to pull out of purchasing my new property. C’est la vie.

Didyousaysomethingdarling · 22/12/2020 16:39

I think it will be extended - due to unforeseen circumstances! The government aren't embarrassed about 'U' turns. They just want to keep the prices up and the 'urgency' ongoing. I think they're probably collecting a large amount of Capital Gains Tax from probate/estate sales and landlords selling up.

Paulina23 · 22/12/2020 19:44

The government will do whatever it takes to prevent the house price significant falling even if it means the BoE buying the house as part of their quantitative easing program. Would expect mortgage help to FTB entering the market and support the entire structure as well as continuation of stamp duty discount for upper rings. I guess the only hole in the plan would be a massive pressure on the pound and/or inflationary pressure forcing interest rate up.

user1487194234 · 22/12/2020 19:54

To be honest the market might well correct itself
Huge tax revenues are needed and Stamp duty is an easy target

lilylongjohn · 22/12/2020 20:05

I hope is as we're hoping to move in the new year but I'm not holding out too much hope. As others have said, we need to start putting money back in the pot

donquixotedelamancha · 22/12/2020 21:09

To be honest the market might well correct itself

That's going to happen sooner or later. Why we are spending money subsidising the wealthiest is beyond me.

The government will do whatever it takes to prevent the house price significant falling even if it means the BoE buying the house as part of their quantitative easing program.

With the social housing stock so low and borrowing so cheap that is exactly what the government should do when house prices really plummet. Cutting taxes on expensive houses while they are still relatively high is stupid.

OllietheOwl · 22/12/2020 21:11

Praying it gets extended due to many unforeseen issues holding up our flat sale/house purchase! This is the one time I actually want the government to go back on their word...

IamthatIam · 22/12/2020 21:55

Why would the government continue to subsidise the wealthier members of society by extending the stamp duty? I can’t see this playing out well if they did so. Extend the stamp duty because middle class people need to complete their house purchase?

FTB already benefit from stamp duty relief and they are not the biggest beneficiaries of the extended relief.

As much as I would like it to be extended, I cannot see a justifiable reason.

The housing market had the boost it needed and will sort itself out during the course of the year. The thing is, there will never be a right time to end the extended stamp duty relief. No matter when the cut off is, there will always be people who will want it extended because they are just about to miss out.

The government said they would not extend it following a big petition and with all other competing priorities I cannot see this as the thing they would choose to do a U turn on.

mountains76 · 22/12/2020 22:15

No way the stamp duty holiday will be extended.

Stirmecrazy · 22/12/2020 22:28

I Have never understood the stamp duty holiday . There will be a massive correction of the housing market soon enough we are about to go into a massive recession so propping up the market seems a pointless exercise a bit like trying to hold back the sea!

Gemma2019 · 22/12/2020 22:38

There is a petition circulating at the moment to extend it. Also there are calls to taper it out until June for transactions that were in progress by the deadline. I also saw an article online saying that treasury professionals are poised to advise the chancellor to extend the deadline, so I think there is a good possibility of getting an extension.

IamthatIam · 22/12/2020 22:42

The petition was rejected.

IamthatIam · 22/12/2020 22:43

The chancellor was clear in response that it won’t be extended. Unless there is now a new petition that started this week?

Gemma2019 · 22/12/2020 22:48

I'm sure I saw another one in the last couple of days

Gemma2019 · 22/12/2020 22:51

I'm selling a house at the moment. Offer accepted 23 November, no chain on either side and solicitors are "optimistic" that our buyers will make the deadline, so goodness knows how much time sales with chains will take.

Salome61 · 22/12/2020 22:57

I signed a petition and got a response, the gov have said no extension.

IamthatIam · 22/12/2020 22:58

petition.parliament.uk/petitions/550545

IamthatIam · 22/12/2020 22:59

The one to phase it did not get much support either

petition.parliament.uk/petitions/558610

Original poster

Randomtasks · 22/12/2020 23:00

Bizarre to think it just benefits the MC. Surely they can afford it anyway? We aren't wealthy and the SD holiday allowed us to buy a property that would have been out of our reach without it. Same with my friend!

OP posts:

IamthatIam · 22/12/2020 23:06

Depends on what you mean by not being middle class. If you can afford to buy a house I suspect the government would not class you as poor or needing financial support.

Based on the PM’s recently published 10 point plan and the recent white paper on energy, I can’t see stamp duty extension being a priority. I may be wrong but with the money tree drying up and a need to raise revenue, I’d be surprised if that would be top of its list of goodies.

HopeAndDriftWood · 22/12/2020 23:13

Friend needed to move a lot faster to take advantage of it, I think... we were being told in early November that we might not get over the line. Annoying, but no industry experts etc seem to think it’ll be extended... I think it’d be difficult to rationalise, the government needs the tax.

That said, I think our chain will collapse, because I don’t think our sellers can afford their new house without the discount... so I hope it gets extended, but I’m not expecting it.

inquietant · 22/12/2020 23:20

Why would the government continue to subsidise the wealthier members of society by extending the stamp duty?

Because they are a Tory government. That is their raison d'etre.

RainingBatsAndFrogs · 22/12/2020 23:30

It doesn’t just benefit rich people.

It only covers the first £500k of a property...which is a one or two bed flat in London. London, where rent will ruin you and you will not get a council flat.

I think it would be fair to extend it to those who have exchanged by the deadline.

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