Last week the Conservatives pledged to abolish stamp duty on homes. In her speech, leader Kemi Badenoch characterised stamp duty as “a bad tax … an un-Conservative tax” and argued abolishing it is key to realising homeownership for more people. This makes good sense, and it would be responsibly funded through reform of the out-of-control welfare system.
We must get Britain moving again and for many aspiring homeowners, particularly younger people, the upfront tax can add thousands of pounds — a real hurdle to widening access to home ownership. Scrapping stamp duty would also help to save the precious green fields of West Sussex which our local councils are recklessly building over. One of the consequences of the current tax is that older homeowners often stay in larger homes rather than downsizing to smaller ones — because moving triggers a large tax bill. Experts say abolishing stamp duty could help unlock this latent housing supply, making more homes available for younger families.
The policy would also provide much needed help for the economy. The housing market triggers many related activities (movers, tradespeople, furniture purchases, refurbishment, etc.). Currently the southeast housing market is moribund with a recent survey by Halifax showing annual growth of only around +1.3 % in the year to September 2025, with prices falling month-on-month by ~0.3 %. By cutting transaction-tax friction, more moves can happen, boosting economic growth and dynamism.
This is a policy which could deliver measurable benefit across generations — from first-time buyers to older homeowners looking to downsize — and help unlock more fluidity and fairness in the housing market. But will Rachel Reeves and other parties support this? Sadly, it seems unlikely. Not only are the government unwilling to contemplate the sort of welfare reform which is required – ending the scandal of the current Motability scheme for example – but they are in an ‘arms race’ as to who can spend the most on welfare and an unreformed public sector despite the proportion of money spent by the state and government borrowing both reaching record highs.
