§ Mr. Shersbyasked the Chancellor of the Exchequer what estimate he has made of the effect on the mobility of labour of the increased cost of private homes resulting from his decision to increase stamp duty.
§ Mr. DellIn the Budget my right hon. Friend increased the relief from stamp duty on conveyances of property up to £20,000. This will help a very large number of house purchasers, including of course those who have to move house on a change of employment. Increased duty will generally be payable only in the minority of cases where the cost of the house exceeds £25,000.
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§ Mr. Shersbyasked the Chancellor of the Exchequer what was the total revenue from stamp duty on conveyances of private homes for each of the last five years for which figures are available.
§ Mr. DellThe revenue from stamp duty from the conveyancing of residential buildings in the year 1973–74 is estimated at about £40 million. No estimates can be made for earlier years.
§ Mr. Shersbyasked the Chancellor of the Exchequer if he will set out in tabular form in the OFFICIAL REPORT the cost to the vendor of stamp duty on conveyances of private houses sold at the following prices before and after 1st May 1974: £20,000, £25,000, £30,000, £35,000, £40,000 and £45,000.
§ Mr. DellThe amounts of duty are:
Sale price of house Duty before 1st May 1974 Duty after 1st May 1974 £ £ £20,000 200 100 £25,000 250 250 £30,000 300 450 £35,000 350 700 £40,000 400 800 £45,000 450 900
Origianl cost of house £20,000 £30,000 £40,000 Effect of stamp duty changes on: Cost … −£100 +£150 +£400 Gross annual repayment on mortgage … −£11.87 +£17.81 +£47.50 Repayment net of basic rate tax (first year) at 33 per cent. … −£8.24 +£12.36 +£32.98