Extending the stamp duty holiday will be on the Chancellor Rishi Sunak’s mind as we weather another national lockdown, according to some property experts.
The stamp duty holiday, which is believed to have played a significant role in boosting the UK housing market, is set to come to an end at the end of March.
However, as reported by This Is Money, there have been increasing calls for it to be extended – both to allow for delays in the system caused by a fresh third lockdown, and to galvanise the property market if the restrictions proved to be a dampener.
Giving the property market some “much needed wiggle room”
Andrew Montlake, managing director at mortgage broker Coreco, said that he “would not be surprised” if Sunak decided to extend the deadline.
“Though the property market remains technically open, there will now be considerably more logistical issues for the simple reason that a lot of people will be working from home,” he said.
“Lenders, valuers and conveyancers are already experiencing bottlenecks and delays given the sheer amount of applications going through, and the administrative upheaval caused by the latest lockdown will only serve to accentuate them.
“We would not be surprised if the Treasury makes an announcement this week about extending the stamp duty deadline to keep demand alive and give the property industry some much needed wiggle room.”
“Extending the stamp duty holiday is a way for the Government to give people something to cheer about when there’s so little to cheer about”
London agent Jeremy Leaf was quoted by Estate Agent Today, stating: “The new lockdown will have some impact on surveyors, removals firms etc and in the circumstances, it would be prudent for the Chancellor to reconsider the stamp duty deadline.
“Those who have moved heaven and earth to meet the deadline should not now be penalised if they miss it through no fault of their own.”
And George Franks, co-founder of London-based agency Radstock Property, said:
“Extending the deadline by at least another month to reflect the new national lockdown seems like the right thing to do in the current circumstances and I’m sure it’s on Rishi Sunak’s agenda. The property market is providing vital fuel for the economy and the Treasury will want to ensure that continues during the potentially challenging months ahead.”
“Extending the Stamp Duty holiday is a way for the Government to give people something to cheer about when there’s so little to cheer about, as public sentiment and the property market are closely related.”
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