The UK Parliament's Housing, Communities and Local Government Committee has published a report on home ownership affordability urging the government to reform Stamp Duty Land Tax as part of a broader package to help first-time buyers. The committee recommends launching a consultation before the end of 2026 on alternatives to the current tax and says any reform should be taken forward alongside reform of council tax rather than in isolation. The proposed consultation should test alternatives against revenue-raising capacity, effects on property market friction, progressiveness and fairness. Options identified in the report include a revenue-neutral replacement, lower rates to stimulate transactions, revised banding thresholds linked more closely to local property prices, and changes to reliefs and exemptions. The report also calls for annual homebuilding targets for each remaining year of the Parliament, six-monthly updates on actions to increase building rates by private developers, easier routes for councils to recover long-term empty homes, and a replacement for the Lifetime ISA focused on homeownership without a static property price cap.
UK Parliament2026-06-08
UK Parliament Housing, Communities and Local Government Committee calls for stamp duty consultation by end of 2026
The UK Parliament’s Housing, Communities and Local Government Committee has urged the government to reform Stamp Duty Land Tax, recommending a consultation on alternatives coordinated with council tax reform and assessing options against revenue, market friction, and fairness. The report highlights potential changes to rates, banding, and reliefs, and calls for annual homebuilding targets, updates on private sector building rates, stronger powers to recover long-term empty homes, and a new homeownership-focused replacement for the Lifetime ISA.