The amount of Stamp duty tax payable on all property transactions was cut on Friday as part of Kwarteng’s ‘game-changing’ growth plan. Buyers currently pay stamp duty after £125,000 of a home’s purchase price but, today, that threshold was doubled. This means buyers no longer pay stamp duty tax on the first £250,000 of a property purchase. The property price at which first-time buyers will pay stamp duty will be increased to £425,000, from £300,000. The steps taken mean that 200,000 people will be taken out of paying stamp duty all together. This is a permanent cut to stamp duty effective from today. The Government’s Growth Plan, today’s measures “will reduce stamp duty bills across the board for all movers by up to £2,500 with first-time buyers able to access up £11,250 in relief.”
Will this boost the British economy effective immediately?