A row of houses in Camden, London.
Londoners pay, on average, four times more stamp duty than the rest of the UK, according to research by London Central Portfolio.
The data found that Greater London contributed the most to stamp duty at around 39 per cent.
The research revealed that the Royal Borough of Kensington and Chelsea and the City of Westminster alone received over £600m in donations.
The data also found that the average basic rate of stamp duty paid by buyers in England and Wales was £7,161, while buyers in London paid four times that amount at £27,232.
Naomi Heaton, chief executive of London Central Portfolio, said: “Despite ongoing noise about whether the wealthiest people are paying their ‘fair share’, it is clear that they are paying less for stamp duty. “It’s clearly a major contributor to revenue.” ”
He added: ‘LCP’s findings show that the vast majority of the Exchequer’s £9.5bn tax revenue is generated by the most expensive 10% of sales, with London buyers paying four times more stamp duty than the national average. It shows that there is,” he added.
As it stands, the average house price in the UK is £218,255, but property prices in London are significantly higher at £490,718.
Despite this, the UK property market remains stagnant as Brexit negotiations continue.
The capital’s housing market continues to be hardest hit by the ensuing economic instability, with prices falling more than 15% in the past 12 months.
The number of completed homes sold in the UK fell by 21.2% to 62,482, compared with 79,243 in November 2015, according to government figures.
Meanwhile, the number of completed homes sold in London decreased by 34.8% from 9,806 to 6,394.
This week, the government announced a number of measures aimed at tackling improvements in the housing sector.
Yesterday, Housing and Communities Secretary Sajid Javid announced that estate agents in the UK will now be required to hold a professional qualification in order to practice.
In addition, Mr Javid pledged the government’s efforts to crack down on “gasping”, where sellers accept higher offers than necessary.
Find out more about the government proposals here.
