PM Andy Burnham rules out stamp duty reform in next budget: Why is it a blow to British homebuyers?
New British Prime Minister Andy Burnham ruled out any changes to stamp duty or a tax on home sales at the next budget expected later
New British Prime Minister Andy Burnham ruled out any changes to stamp duty or a tax on home sales at the next budget expected later this year, as per Reuters. When asked if the government would change or scrap stamp duty in the next budget, Burnham said on Monday, “Yes, I can say that quite clearly. That won't be happening.” Also Read | Burnham Approves Use of UK Bases for Some US Strikes on Iran What is stamp duty unpopular? Stamp duty on land and property has raised 16.6 billion pounds for the government in the last year.
This can be seen as beneficial from the government's perspective, but is largely unpopular, as it deters people from moving for work or downsizing, and various economists have said that this leaves housing stock poorly used. “It's just not the case that we are bringing forward plans on that scale at this moment in time… What we're trying to do, though, is make taxation fairer,” the British PM noted. Burnham has also previously said that he may ask people to pay “a little more” in tax as the UK faces major spending pressures amid an ageing population requiring government expenditure, a need to rebuild its armed forces and other investment goals.
The governing Labour Party's 2024 election manifesto, however, had ruled out increasing the rates of income tax, national insurance or VAT, all 3 of which together account for two-thirds of total tax revenue for the government. Burnham took power on 20 July following former PM Keir Starmer's resignation after a poor Labour performance in local elections in early May. Burnham, the former Manchester mayor, had said that he would challenge him for the job as Starmer's popularity fell to an average net approval rating of around 46% by November 2025.
This was further solidified as Labour lost control of 35 councils and nearly 1,500 councillors in the 2026 local elections. Burnham took over largely uncontested, being nominated by over 94% of Labour MPs. Also Read | India refused illegal migrant returns over Nirav Modi case: Ex UK Home Secretary
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