Can the UK government take the risk? - Comment on the Welsh Government announcement regarding SDLTfrom Richard Pike at Phoebus Software

04 January 2021

Richard Pike, Phoebus Software sales and marketing director, says “The news from the draft Welsh budget will no doubt have the market looking to the UK government for an idea on what may happen when the SDLT holiday period finishes.

“There are two questions that need to be answered. Firstly, what happens to any mortgages that are in the pipeline on 31st March? Secondly, with the country still paying the price of Covid-19 and the uncertainty that it has caused to personal finances, can the government actually afford to go ahead with the deadline? There is an argument that asks whether, while the market is moving and putting back into the economy, can they take the risk that end of the holiday won’t put the brakes on again?

“The murmurings are that there will be no extension, but perhaps an increase in second home surcharges and an increase for high value properties may be the better option?”