Stamp duty revenues 'top £30 billion'

A new study has found that the Labour government has raked in over £30 billion in stamp duty since it came into power in 1997.

The research by financial advisory firm Grant Thornton found that a total of £31.5 billion had been raised since 1997, with increases in the levels of the tax plus a failure of the thresholds to rise in line with inflation increasing the annual revenue levels eight-fold in that time.

In May 1997, there was just one rate of duty, which was one per cent on homes worth £60,000 or more, a levy which has changed just once to its current £125,000 level.

However, in July that year higher levels of duty were introduced, the study noted.

Grant Thornton added its voice to calls for reform of the duty, which have also been made in the last two days by the Council of Mortgage Lenders and the National Association of Estate Agents, with the latter proposing a new one per cent threshold of £200,000.

Those seeking to avoid stamp duty may look at the self build option as a way of getting on the housing ladder without having to pay the tax..


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