Stamp duty receipts plummet as fewer transactions take place

[fellow]

Stamp duty receipts plummet as fewer transactions take place

https://propertyindustryeye.com/stamp-duty-receipts-plummet-as-fewer-transactions-take-place/

Quote

There has been a significant drop in stamp duty receipts, new figures show. UK property transactions fell by more than a fifth to 1.2 million homes in the year to March, while mortgage lending last year was down 23% to £130bn, according to UK Finance. Consequently, stamp duty receipts fell by 24% to £11.6bn in the year to March, reflecting the fall in home transactions over the last 12 months.

Jonathan Stinton, head of intermediary relationships at Coventry Building Society, said: “The Treasury has taken an almost £4bn hit because there were roughly 200,000 fewer property transactions last year. But the tax burden for homebuyers hasn’t lightened at all, they are still paying thousands of pounds to move home.”

 

Edited April 25 by fellow

[Fromage Frais]

no shit.

supporting a market that needs to fall is spending money blowing air into a balloon with a hole in it.

Last time prices where booming

low rates for mortgages less then 2% + race for space + stamp duty cut + higher disposable + HTB

So to make more money from stamp duty they either need to

get mortgage rates under 2 + cut stamp duty + HTB3 + and raise disposable income over inflation.  

or 

let prices fall and or maybe move stamp duty to a land tax and earn on the way down.

 

[MarkD]

From what I can see it's mainly the lower end of the market selling hence lower stamp duty take anyway regardless of volumes, which as we know are down anyway.

Bottom line, there's no money about, all gone on rent, council tax and electric!!!

[msi]

3 hours ago, MarkD said:

Bottom line, there's no money about, all gone on rent, council tax and electric!!!

All from the Party of FiScAlReSpOnSiBiLiTy.....

[MarkD]

6 minutes ago, msi said:

All from the Party of FiScAlReSpOnSiBiLiTy.....

That's what's so funny really. 'You can't trust the labour party, they'll wreck the ecconomy'. 😄😄😄

[winkie]

There is no ladder.

[Aidan Ap Word]

And, in other news, some are suggesting the GOV-giveaway pre-election is a reduction in stamp duty.

Hmmmm ....

[msi]

32 minutes ago, MarkD said:

That's what's so funny really. 'You can't trust the labour party, they'll wreck the ecconomy'. 😄😄😄

What's really funny is there are ToryBoyz that still believe it.....

[Casual-observer]

It's just another example of the repercussions of trying to hold up prices.

This collapse in volume will kill the patient (economy). It will and probably is rippling out as we speak in terms of estate agents, solicitors, banks, mortgage provider's, surveyors,  builders...etc. 

The idea persists at the moment that the only answer is to lower rates but that's not been helped by the BOE spinning a yarn for over a year how it was going to be temporary and the media VI's thinking about their personal circumstances. 

The plateau only exists thanks to the market freezing up but the tide will turn once the damage felt from this begins to outweigh the damage from prices going south. There's only so long you can live off scraps 

Banks especially will begin to favour transaction volumes to return. 

Edited April 25 by Casual-observer

[TheCountOfNowhere]

7 hours ago, fellow said:

Stamp duty receipts plummet as fewer transactions take place

https://propertyindustryeye.com/stamp-duty-receipts-plummet-as-fewer-transactions-take-place/

 

Hang on a minute, the market is booming.  Rightmove said so.

[TheCountOfNowhere]

8 hours ago, Fromage Frais said:

no shit.

supporting a market that needs to fall is spending money blowing air into a balloon with a hole in it.

Last time prices where booming

low rates for mortgages less then 2% + race for space + stamp duty cut + higher disposable + HTB

So to make more money from stamp duty they either need to

get mortgage rates under 2 + cut stamp duty + HTB3 + and raise disposable income over inflation.  

or 

let prices fall and or maybe move stamp duty to a land tax and earn on the way down.

 

Daventry says otherwise