Residential SDLT (Stamp duty)  receipts up 8% annually

Date Published 15 October 2018

The Treasury raked in a whopping £9,275m in SDLT receipts on 1.1 million resi transactions across the UK in 2017-18, according to the latest annual update from HMRC.

While transactions nudged upwards by 1% on the previous year, resi SDLT receipts rose 8%, with the increase put down to a higher proportion of transactions paying the higher rates.

Here`s some of the other key take-homes…
• Resi properties in the sub-£1m range accounted for 68% of resi property receipts and 98% of resi transactions.
• The mean amount of SDLT per resi transaction increased by 7% to £8,400.
• Westminster was the local authority with the highest SDLT receipts from resi transactions (£594m), contributing 6% of the national total.
• The amount of SDLT from non-natural persons (companies, partnerships and collective investment schemes) paying the 15% rate of SDLT on resi transactions increased by over 300% in the past year, from £25m in 2016-17 to £105m in 2017-18.
• There were 252,000 additional dwellings transactions in 2017-18, an increase of 19% from 2016-17.
• HRAD (higher rates on additional dwellings) receipts were £4,060m in 2017-18, an increase of 21% from 2016-17. Of this total, £1,895m came from the 3% element.
• Additional dwellings transactions accounted for 23% of resi transactions (up 4%) and 44% of resi receipts (up 5%) in 2017-18.
• The region with the highest proportion of transactions which were additional dwellings was London, with 27%. The South East had the lowest, at 20%.
• 3% of additional dwellings transactions were valued above £1m in 2017-18, accounting for 37% of resi transactions and 50% of resi receipts within this price band.
• London saw the biggest annual decrease in the number of resi transactions in 2017-18, with most other regions growing.
• 69,100 transactions claimed the new SDLT first time buyers` relief in 2017-18, with an estimated £160m relieved in total.

Source: Prime Resi (September 2018)