Burnahm Land Tax Replacing SDLT

[maureenponderosa]

https://www.standard.co.uk/news/politics/andy-burnham-tax-london-land-value-council-stamp-duty-b1286586.html

While I think this is overall a very sensible approach, and do think Stamp Duty is a tax that discourages market movement, I’m a bit worried about this.

We moved recently. Paid £30,000 in SDLT. It will be so galling to have to then pay a stamp duty replacement tax when we’ve already paid so much in stamp duty.

I wonder how this would be rolled out. Would it apply to all purchases after a certain date or to everyone whether they’ve already paid the tax or not.

Hoping it would be the former.

Any speculations?

Headline mentions London but we’re nowhere near. Very rural. No London salaries.

On that basis I don’t know what I would do. I can imagine there would end up with a lot of people continuing to live in sub optimal conditions because this kills off the ability to buy somewhere bigger on affordability grounds. Will hit young families. Then there are those who will just end up wracking up debt if they are even allowed to defer - if they decide you can afford it will you have to remortgage?

they are naive to think tenants won’t pay it in the end - I’m not sure they understand basic economics

Someone upthread said they're already paying around £4,000 a year in Council Tax in the North/North West. If I've understood the proposal correctly, does that mean their bill would initially rise to around £5,200 a year - and that is just for starters?

Forcing people out of their homes, or into debt, because of an unrealised paper valuation doesn't strike me as particularly fair