Rishi Sunak’s stamp duty changes cheered by estate agents and housebuilders

A number of businesses in the housing industry welcomed the update today.

Tim Hyatt, head of residential at Knight Frank, said: “Today’s announcement to temporarily cut stamp duty will act as a shot in the arm for UK housing and further bolster a market which has come out of a state of suspension. However, in order for a fully functioning market to return, the availability of higher loan to value mortgages must also be improved to support first time buyers across the country.”

Richard Donnell, research and insight director at Zoopla said: "The immediate increase in the stamp duty threshold will help sustain the rebound in housing market activity across England. The benefits will be immediate; nine of ten transactions in England will no longer be subject to the tax and in London and the South East, home to more expensive properties, homebuyers can save up to £14,999 overnight."

Nick Whitten, head of UK living research at property agent JLL said: “Government policy support is of absolute importance in limiting the economic impact of Covid-19 on the housing market in the UK. The stamp duty exemption holiday announced today could prove to be a key incentive to kickstart the housing market and make up for lost sales. Such Government stimulus response could trigger a stronger than anticipated bounce in demand by allowing aspiring purchasers to use their stamp duty saving towards a higher deposit.”

Jeremy Leaf, a north London estate agent and a former RICS residential chairman, said: "The most pleasing aspect [of the stamp duty holiday] is that it is due to start immediately because if it had been delayed it would have had a negative impact on the market until it was introduced...To avoid a pinch point, the Chancellor might think about phasing out the deadline, otherwise it could lead to a rush of purchases up to the end of March and a quiet market thereafter."

Nick Leeming, chairman of estate agency Jackson-Stops, said: “Sunak’s stamp duty reform has come at the right time and will have an immediate impact on the volume of sales agreed in the coming weeks. With nearly one fifth of UK adults considering a home move in the next 12 months, this stamp duty holiday unlocks great potential for the market."

Marc Vlessing, chief executive of housebuilder Pocket Living, said: “The Chancellor’s announcement on stamp duty is helpful, but fundamentally if we are to address the housing crisis we must build more homes of all types, including affordable homes for first time buyers.”