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Mini Budget 2022: Stamp duty nil rate band to be doubled to £250,000

  • 23/09/2022
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Mini Budget 2022: Stamp duty nil rate band to be doubled to £250,000
The government will double the level at which people pay stamp duty from £125,000 to £250,000, with the changes coming into effect from today.

In today’s mini Budget today, Chancellor Kwasi Kwarteng added that the level at which first-time buyers start paying stamp duty will rise from £300,000 to £425,000.

The government will also allow first-time buyers to access relief, where they pay five per cent stamp duty when buying a property of less than £625,000, which is up from £500,000.

The changes will cut stamp duty bills for all movers by up to £2,500 and first-time buyers will be able to access up to £11,250 in relief, the government noted.

Doubling the level at which people pay stamp duty will mean 200,000 people will be able to purchase a home without paying stamp duty.


29,000 more people can move home

It added that around 29,000 more people will be able to move home each year, which the government said will boost household consumption, build confidence in the economy and support businesses relying on the property market.

In its fact sheet, the government said: “This policy is a tax cut for hard-working people and will allow them to keep more of the money they earn. This tax cut will boost household consumption, increase economic confidence and support jobs.”

The government’s decision to reform stamp duty was leaked earlier this week, with some critics saying that the tax break would push up house prices which would make it more challenging for first-time buyers to get on the property ladder.

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