Oral Answers to Questions

Debate between Christopher Chope and Danny Alexander

Tuesday 14th May 2013 Commons Chamber

[Mr Christopher Chope (Christchurch) (Con)]

Does the Minister accept that a tax on transactions reduces the number of transactions? Does he therefore agree that the current level of stamp duty is reducing the number of housing transactions, and as a result is disadvantaging the construction sector?

[Danny Alexander]

I have to say that I do not really accept that. The evidence of previous attempts to support housing transactions through stamp duty cuts is not all that positive. The Government have sought to make the stamp duty system more progressive, asking those with the largest properties to pay more. Indeed, I hope my hon. Friend welcomes the introduction, from the beginning of April, of a new annual charge for homes owned by offshore companies—a mansion tax for tax dodgers, as it were.