Question to the HM Treasury:

To ask the Chancellor of the Exchequer, for what reason people buying a home for the first time under the gradual homeownership model are not subject to first-time buyers Stamp Duty relief.

In 2017, the Government permanently increased the price at which a property becomes liable to Stamp Duty Land Tax (SDLT) to £300,000 for first time buyers. Since its introduction, over 673,000 people have benefitted from the relief.

Consumers using a product referred to as ‘gradual homeownership’ do not buy a share in a property but instead invest in a partnership along with a set of investors who are seeking a profit on that investment. This form of ownership means that the purchase does not meet the statutory conditions for relief.