Industry reacts to £2mhomes duty
THE new stamp duty rate of seven per cent for homes over £2m has not been well received by the property industry.
Rates now stand at one per cent for properties between £125,000 and £250,00; three per cent for £250,000 to £500,000, four per cent for £500,000 to £1m and five per cent for the £1m to £2m bracket.
Lucian Cook, director of research at Savills, says: “This gives a clear signal that stamp duty remains the weapon of choice.”
His calculations reveal that £2m plus properties would account for 23 per cent of stamp duty receipts from residential property, despite only accounting for less than one in 200 housing transactions in the UK, most the them in London and the South East.