Editor's note: This brief was summarised by The Property AI Newsroom from a report by The Negotiator. Read the original article for full details.

MPs Urge Major Reform of Stamp Duty Land Tax

A group of MPs from the Housing, Communities and Local Government Committee has called for Stamp Duty Land Tax (SDLT) to be cut, overhauled or replaced. The committee argues that SDLT creates barriers to homeownership and slows the property market.

The committee is urging the government to launch a consultation on Stamp Duty reform by the end of 2026. According to the committee, SDLT reduces the affordability of home ownership, slows the property market, and ultimately damages the economy, despite a discount for first-time buyers.

The committee's report states that while SDLT is a valuable source of revenue for public finances, it should not be maintained in its current form and needs to be reformed. The MPs have suggested that ministers consider a range of options, including abolishing Stamp Duty, reducing rates, revising thresholds to better reflect local property values, and updating existing reliefs and exemptions. The report also recommends that any review of SDLT should be carried out alongside reform of Council Tax.

A Treasury spokesperson responded by highlighting that first-time buyers pay no Stamp Duty on homes worth up to £300,000 and can claim relief on purchases up to £500,000. Stamp Duty receipts totalled £4.3 billion in the first four months of 2026, which is around 6% lower than during the same period last year.

This development is relevant for UK letting agents and inventory clerks, as changes to Stamp Duty could impact transaction volumes and the overall property market.