The Chancellor George Osborne should consider dramatic changes to the Stamp Duty regime, according to an informal poll of property professionals carried out by London law firm Wedlake Bell.
Guests to the firm’s residential property team annual party were asked what they would say to the Chancellor ahead of the Budget if they found themselves in a lift with him for a few moments.
The response was overwhelmingly focused on changes to Stamp Duty, particularly for an increase in the threshold for paying the tax. One respondent described the current level of £250,000 as a “nonsense” when applied to the capital. Another recommended allowing Stamp Duty bills to be paid over two years.
“We wouldn’t claim a questionnaire available to a hundred or so specialists, from bankers to agents, over drinks and canapés at Fortnum & Mason is particularly scientific,” said head of the residential property team Jeremy Raj. “But it is interesting to see how firmly sentiment is placed on some key issues.”
In a separate questionnaire at the reception, an overwhelming majority - 76 per cent - thought the gap between house prices in the South East and everywhere else would increase this year.
However, if the Chancellor is thinking of doing more to encourage the rental sector in his Budget later this month, he might note that a similar percentage – 71 per cent – thought it would be wrong to encourage a shift away from home ownership to renting.
Guests were also asked about The New Buy Guarantee Scheme, by which the Government underwrites 95 per cent of loans up to £500,000 on new properties. It was overwhelmingly supported, with 94 per cent of those polled believing the guarantee is a good idea.
