Phone Us

Autumn Statement 2015: Investors Expected to Look North Following Stamp Duty Increase

Investors in the UK property market are expected to look towards the north of the country following the announcement of a Stamp Duty increase in today’s Autumn Statement.

UK House Investment

Investors in the UK property market are expected to look towards the north of the country following the announcement of a Stamp Duty increase in today’s Autumn Statement.

Chancellor George Osborne has announced that buy-to-let property purchasers will face a 3% increase in Stamp Duty with the threshold beginning with properties valued from £40,000.


Buy-to-Let properties will now incur charges of:

  • 3% on the first £40,000 to £125,000
  • 5% on the next £125,000
  • 8% on the next £250,000


The change in Stamp Duty, which does not come into operation until April 2016, is expected to see a change in attitudes from buy-to-let investors as property prices become a more impactful consideration on the value of a property investment.


The changes, which come as part of a wave of new policies which are designed to help first time buyers take their first step onto the property ladder, are expected to have the biggest impact in London and the South East.


Following yesterday’s comments from Nationwide chief executive, Graham Beale, that the spiralling house prices in the capital are ‘unsustainable’, today’s move from the Chancellor is expected to see many investors look to the north of the UK as an alternative.


With lower house prices and higher rental returns, areas to the north of London and the south east have already started to attract a considerable amount of attention from investors.


News of today’s Stamp Duty increases is likely to reinforce the shift in investor attitudes towards yielding property investments, as purchasers look to find properties that incur minimal duty charges whilst still offering them a generous rental return. With the northern housing market naturally providing these types of investment opportunities, it is expected that it may benefit from investors moving away from the south.


Property investments offered by Prinvest UK all operate within the lowest bracket of the new Stamp Duty regulations, providing property investors a range of varied options whilst limiting the level of Stamp Duty applicable compared to similar projects in the South.