Stamp duty "remains unfair"

Posted: 06 Sep 2006 12:06:46 GMT

            Property News - Stamp duty "remains unfair"

New figures released by Portman Building Society have shown that stamp duty raised one billion pounds for the government in the second quarter of 2006.

On average homeowners paid £3,735 in stamp duty per property, which is an increase from the first quarter's figure of £3,477.

Stamp duty taxes for the three months up to June 30th 2006 showed a 30 per cent increase in revenue for the government compared to the first quarter.

Matthew Wyles, group development director at Portman Building Society, stated: "Stamp duty continues to be a deeply unfair tax to all who pay it."

The government's decision to heighten the stamp duty threshold from £60,000 to £120,000 and then a further rise to £125,000 isn't enough according to Mr Wyles.

"The burden of this tax will continue to increase unless the government undertakes a radical alteration to its policy," he commented.

"Whilst the threshold increases have been assured by the government to help first-time buyers they seem to have had little effect."

The average first-time buyer property price is currently £147,868, which is over £22,000 above the threshold.

Therefore critics of the tax argue that it is making it even harder for first-time buyers to get a foot on the property ladder.

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