UK Property: Stamp duty, towns suffering from thresholds

Halifax: 79 towns hit hard with 3% stamp duty tax

Halifax research has revealed that the average house price in 79 towns (16%) surveyed in England is above the £250,000 threshold at which a 3% rate of stamp duty is levied.

Halifax said the typical home buyer in these towns will be faced with a stamp duty bill of at least £7,500.

It has been over nine years since the higher stamp duty thresholds -
£250,000 and £500,000 - were introduced. They have not been increased since then despite a 162% increase in the average house price over the period, Halifax stated.

In July 1997, when the £250,000 stamp duty threshold was introduced, there were no towns with an average house price above the £250,000 threshold. In 2001, there were 18 towns (4%) with an average house price above £250,000.

Halifax is lobbying the government to bring the stamp duty threshold in line with house price inflation. offerings help and advise on both property purchasing with additional funds being arranged to assist with purchasing costs/fees.