Homebuyers paid out nearly £4bn less in stamp duty land tax during 2023-24 compared with the previous tax year, analysis by Coventry Building Society has revealed.
Analysis of HMRC figures found that £11.6bn was paid out in SDLT between April 2023 and March 2024, a fall on the £15.4bn paid during the 2022-23 tax year.
This discrepancy was explained by Coventry Building Society head of intermediary relationships, Jonathan Stinton, who said: “The Treasury has taken an almost £4bn hit because there were roughly 200,000 fewer property transactions last year.”
However, Stinton warned the tax burden for homebuyers “hasn’t lightened at all” and they are “still paying thousands of pounds to move home".
In March, homebuyers paid £864mn in stamp duty, an increase of £83mn (10.6 per cent) since February.
February was the lowest month for stamp duty receipts throughout the year with £781mn, while August was the highest with £1.1bn.
This trend shows little signs of stopping as the Office for Budget Responsibility and fiscal outlook showed property taxes, which includes stamp duty, are expected to increase by £1.3bn this year, and continue to increase year upon year - reaching £22.1bn in 2028/29.
Coventry also noted that news of a rumoured cut to stamp duty in the Autumn Statement was reported recently.
Stinton said: “Once again the rumours have started circling that there could be a cut to stamp duty in the Autumn Statement, but we’ve heard that one so many times it now feels like the Treasury crying wolf.
“Signaling a cut to stamp duty could make future buyers hold fire on their purchase, which may all be for nothing if rumours don’t amount to anything concrete.
“What buyers need is a definitive review of stamp duty, one which also addresses other issues like support for downsizers or helping to make homes more energy efficient, rather than using it like a political beach ball to score votes.”
tom.dunstan@ft.com
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