Shadow Housing Secretary Katie Lam has outlined proposals to abolish Stamp Duty and scrap the Future Homes Standard, alongside plans to reduce new-build housing costs by up to £50,000.
Speaking at the Conservative Party annual conference, Lam detailed a series of housing policy proposals that would reshape the property market. The measures include replacing Section 106 and the Community Infrastructure Levy with a single levy, and reducing housebuilding regulations.
Renters’ Rights Act confusion
At a Centre for Policy Studies fringe event, Lam was asked about the Renters’ Rights Act and reportedly stated: “I don’t care where it comes from. It’s got to go.” The Conservative Party subsequently clarified that she was referring to challenges the legislation has created for landlords, and confirmed there is no formal policy plan to scrap the Act.
The Renters’ Rights Act has prompted renewed scrutiny of the buy-to-let sector, with landlords reassessing their portfolios in response to the regulatory changes.
Industry response
Timothy Douglas, Head of Policy and Campaigns at Propertymark, said the organisation welcomes the focus on increasing housing supply and simplifying planning. “Our members see first-hand how delays, complexity and uncertainty in the planning system can add costs and hold back development,” he stated.
Douglas noted that scrapping Stamp Duty “would remove a significant barrier to moving home and could help improve mobility across the housing market.” However, he cautioned that abolishing the Future Homes Standard requires careful consideration.
The proposals come as developers continue to navigate planning and funding challenges across the UK property market.
Cost savings questioned
Propertymark has indicated that the claimed £50,000 saving on new-build homes will need verification to determine whether such savings would reach consumers. Douglas emphasised that “policy makers must not make cost saving at the expense of quality and standards, a balance will need to be struck.”
He added that planning reform alone will not solve the housing crisis, stating: “The test of these proposals will be whether they actually deliver more homes and improve affordability, particularly for first-time buyers and renters.”
The proposals represent a significant policy shift for the Conservative Party on housing matters, though their implementation would depend on the party returning to government. The stamp duty proposals, if enacted, would have substantial implications for property transactions and market dynamics across England and Northern Ireland.
