I'm curious as to exactly how the term is defined. Could one partner buy their first property and the other buy their second?
Is this a record? A possible loophole found within 30 seconds!
If the first time buyer half of the couple can stump up the whole of the mortgage by themselves then yes that could be done. Means they also own the whole house if things go sour in the relationship though.
We've been through all this first time buyer supposed loop hole previously however.
What did he mean by considering 'reforming' the VAT registration threshold, I wonder?
If it’s causing problems it needs raising to £100k.
Maybe make it based on income rather than turnover, so a plumber buying and reselling expensive parts for a customer isn’t affected, but an IT consultant is.
A plumber buying and reselling expensive parts needs to be registered so that he can reclaim the VAT on his purchases!
A domestic plumber doesn’t, he either presents the vendor’s invoice to the customer and adds a fee for supply, or he takes the total cost of the part as a business expense to offset against income tax, depending on whether he’s a company or a sole trader.
Only plumbers doing most of their work for businesses need to be VAT registered at the moment.
Oh, and a huge amount of business for tradesmen is still in cash.
I notice that when Corbyn is put on the spot -as all leaders of the opposition are after a budget speech- he resorts not to forensic economic analysis -but rabble rousing red faced rants.
Surely even he realises that in the next five years, the Tories will relentlessly undermine Corbyn's economic credibility and expose him as a man of empty postures. The situation in 2022 will be very different, and the Tories will not be in own goal scoring mode but will have a ruthless anti Corbyn strategy which will get the over 55s who abstained in 2017 out to the polling booth.
My other half is a first time buyer, but she's buying with me - and I'm a seller & second time buyer.
Hmm...
Yes, but the property (and the mortgage) will have to be entirely in her name.
Couldn't do that even if wanted to - would fail affordability checks.
The first time buyer is now at a MASSIVE stamp duty advantage compared to buy to let landlords though. Which is positive, home movers somewhere in the middle.
I notice that when Corbyn is put on the spot -as all leaders of the opposition are after a budget speech- he resorts not to forensic economic analysis -but rabble rousing red faced rants.
Surely even he realises that in the next five years, the Tories will relentlessly undermine Corbyn's economic credibility and expose him as a man of empty postures. The situation in 2022 will be very different, and the Tories will not be in own goal scoring mode but will have a ruthless anti Corbyn strategy which will get the over 55s who abstained in 2017 out to the polling booth.
The problem is that when it looks too easy for the Tories they turn on their own with a viciousness they rarely exhibit to Labour.
Corbyn might be appearing too shouty live, but that's not what matters as relatively few people will be watching the budget live.
What matters is getting the soundbites out there for the media to pick up. It's perhaps best to wait to see what clips of Hammond and Corbyn the media decide to use.
One person's 'shouty' might, out of context, seem 'passionate' to others.
Corbyn might be appearing too shouty live, but that's not what matters as relatively few people will be watching the budget live.
What matters is getting the soundbites out there for the media to pick up. It's perhaps best to wait to see what clips of Hammond and Corbyn the media decide to use.
One person's 'shouty' might, out of context, seem 'passionate' to others.
I notice that when Corbyn is put on the spot -as all leaders of the opposition are after a budget speech- he resorts not to forensic economic analysis -but rabble rousing red faced rants.
Surely even he realises that in the next five years, the Tories will relentlessly undermine Corbyn's economic credibility and expose him as a man of empty postures. The situation in 2022 will be very different, and the Tories will not be in own goal scoring mode but will have a ruthless anti Corbyn strategy which will get the over 55s who abstained in 2017 out to the polling booth.
As he has zero even semi-formal understanding of economics ranting is all he can do.
I notice that when Corbyn is put on the spot -as all leaders of the opposition are after a budget speech- he resorts not to forensic economic analysis -but rabble rousing red faced rants.
Surely even he realises that in the next five years, the Tories will relentlessly undermine Corbyn's economic credibility and expose him as a man of empty postures. The situation in 2022 will be very different, and the Tories will not be in own goal scoring mode but will have a ruthless anti Corbyn strategy which will get the over 55s who abstained in 2017 out to the polling booth.
And if the OBR is correct the UK will be entering its fifth year of anaemic growth, with all the effects that tis will have had on public spending, wages and so on.
Oh god he is doing pmqs, Margaret from morcombe stuff.
I have a letter here from Seamus in Moscow. Seamus has asked if the Prime Minister could explain how a gentle butterfly like Ratko Mladic gets his collar felt in the Hague when an evil bastard Anthony Blair gets away scot-free. Is this another Tory conspiracy?
This is not an easy speech to make but I still think it is the worst I have seen from the leader of the opposition.
This gets said every year.
Surely the worst one ever was when Cameron missed the fact that Brown had effectively put income tax up for the lowest paid and it was left to Nick Clegg - briefed by Vince Cable - to point it out.
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
My other half is a first time buyer, but she's buying with me - and I'm a seller & second time buyer.
Hmm...
Yes, but the property (and the mortgage) will have to be entirely in her name.
Couldn't do that even if wanted to - would fail affordability checks.
The first time buyer is now at a MASSIVE stamp duty advantage compared to buy to let landlords though. Which is positive, home movers somewhere in the middle.
Yes, the second buyer is now at a slight disadvantage, but I’m wondering if the high threshold of £300k will make much of a difference. The only place first time buyers are spending £300k is London. My brother will be royally peeved, he bought a flat for £280k near Twickenham six months ago.
Some good proposals from Hammond on tax avoidance and house building.
I am also very pleased he took properties under £300 000 out of stamp duty for first time buyers as I am just about to complete on a flat I bought just under that price.
This is not an easy speech to make but I still think it is the worst I have seen from the leader of the opposition.
This gets said every year.
Surely the worst one ever was when Cameron missed the fact that Brown had effectively put income tax up for the lowest paid and it was left to Nick Clegg - briefed by Vince Cable - to point it out.
I can't remember a leader of the opposition engaging so directly with the content of the actual Budget as Jeremy Corbyn is doing now.
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
Martin LewisVerified account @MartinSLewis 4m4 minutes ago
Sadly for those buying jointly "Where there are joint purchasers, all purchasers would need to be first-time buyers. " 9 replies 22 retweets 13 likes
Quite right
They should close the loophole on spouses too though. Hubby bought property yonks ago, now his wife could be a first time buyer for their pension pot BTL home
Or insist the purchaser is an owner occupier. That would work too.
What did he mean by considering 'reforming' the VAT registration threshold, I wonder?
If it’s causing problems it needs raising to £100k.
Maybe make it based on income rather than turnover, so a plumber buying and reselling expensive parts for a customer isn’t affected, but an IT consultant is.
A plumber buying and reselling expensive parts needs to be registered so that he can reclaim the VAT on his purchases!
A domestic plumber doesn’t, he either presents the vendor’s invoice to the customer and adds a fee for supply, or he takes the total cost of the part as a business expense to offset against income tax, depending on whether he’s a company or a sole trader.
Only plumbers doing most of their work for businesses need to be VAT registered at the moment.
Oh, and a huge amount of business for tradesmen is still in cash.
But the point is that a plumber buying expensive parts is actually cushioned from the VAT threshold by being allowed suddenly to reclaim the VAT on all those expensive parts.
The VAT threshold hurts worst those who don't get to reclaim much input VAT.
They should close the loophole on spouses too though. Hubby bought property yonks ago, now his wife could be a first time buyer for their pension pot BTL home
Or insist the purchaser is an owner occupier. That would work too.
Stamp duty gone on first time buyers upto £300,000 from today
That’s a biggie!
Won't this increase house prices???? More demand from 1st timers - same supply (given or take a few 1000 that they manage to actually build).
The house price itself is actually irrelevant to the problem. The problem is the cost of raising a deposit and the transaction costs. The move on stamp duty is much better than HtB schemes.
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
Yes, the growth predictions were the killer thing here. Fortunately for Phil, the Brexit press won't want to hear about that, so they're probably major on stamp duty. Phil has covered his backside well enough for now.
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
"Using a negotiated bilateral agreement like Canada as the central assumption for the alternative, Britain would be worse off by the equivalent of £1,800 every year for every man, woman and child in Britain after 15 years, and overall GDP would be lower by 6.2%. Other options being proposed would be worse still."
Britain has suffered half of that 6.2% difference already since the March 2016 forecasts.
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
Yes, the growth predictions were the killer thing here. Fortunately for Phil, the Brexit press won't want to hear about that, so they're probably major on stamp duty. Phil has covered his backside well enough for now.
The stamp duty cut could be the kind of housing market intervention that has unintended consequences. If it encourages people with portfolios of properties under £300,000 to put them on the market, we could see a glut of supply triggering a crash.
My other half is a first time buyer, but she's buying with me - and I'm a seller & second time buyer.
Hmm...
If you a buying joint then you are out of luck. If your other half purchases solely then obviously they'll only be able to get a lower mortgage and there will be some legal stuff about your entitlement to the property.
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
Yes, the growth predictions were the killer thing here. Fortunately for Phil, the Brexit press won't want to hear about that, so they're probably major on stamp duty. Phil has covered his backside well enough for now.
The stamp duty cut could be the kind of housing market intervention that has unintended consequences. If it encourages people with portfolios of properties under £300,000 to put them on the market, we could see a glut of supply triggering a crash.
Eh? It makes it easier (for some purchasers) to buy. Other things being equal, that might increase prices a smidgen. It certainly won't reduce them.
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
Yes, the growth predictions were the killer thing here. Fortunately for Phil, the Brexit press won't want to hear about that, so they're probably major on stamp duty. Phil has covered his backside well enough for now.
The stamp duty cut could be the kind of housing market intervention that has unintended consequences. If it encourages people with portfolios of properties under £300,000 to put them on the market, we could see a glut of supply triggering a crash.
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
"Using a negotiated bilateral agreement like Canada as the central assumption for the alternative, Britain would be worse off by the equivalent of £1,800 every year for every man, woman and child in Britain after 15 years, and overall GDP would be lower by 6.2%. Other options being proposed would be worse still."
Britain has suffered half of that 6.2% difference already since the March 2016 forecasts.
Can we revisit this in 2021/22. No one has suffered anything other than having to read the OBR forecasts.
This is not an easy speech to make but I still think it is the worst I have seen from the leader of the opposition.
This gets said every year.
Surely the worst one ever was when Cameron missed the fact that Brown had effectively put income tax up for the lowest paid and it was left to Nick Clegg - briefed by Vince Cable - to point it out.
What got me about that one was that someone spotted it on here the moment it was announced.
"Gordon Brown announced in 2007 that the reduced tax rate for low incomes would be abolished from April 2008.[7] This meant that all income above the personal allowance and below the higher rate band would be taxed at 20%, with the effect that taxpayers earning above the personal allowance would be up to £232 worse off each year.[8]
The abolition of the 10% tax band came into effect at the start of the 2008 tax year and was the source of considerable criticism. High-profile figures protested, including former minister Frank Field.[9]"
This is not an easy speech to make but I still think it is the worst I have seen from the leader of the opposition.
You have to be bright to be able to figure it out on the fly. Eddie spheroids is probably the one labourite who could.
Blair was brilliant at it. I agree it played to Ed's diagnostic skills.
Although Balls never did, did he? It would always have been Miliband who answered a Budget (I think the SCOTE answered the Autumn statement, when we still had those)?
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
Yes, the growth predictions were the killer thing here. Fortunately for Phil, the Brexit press won't want to hear about that, so they're probably major on stamp duty. Phil has covered his backside well enough for now.
The stamp duty cut could be the kind of housing market intervention that has unintended consequences. If it encourages people with portfolios of properties under £300,000 to put them on the market, we could see a glut of supply triggering a crash.
Eh? It makes it easier (for some purchasers) to buy. Other things being equal, that might increase prices a smidgen. It certainly won't reduce them.
I'm suggesting that other things might not be equal. Landlords are getting squeezed and they may see this as a good time to exit the market, but cutting stamp duty won't increase demand.
I simply don't see how this balances out. I assume there must be something in the paperwork but he seems to be saying we will have more spending, lower GDP and lower debt. Surely those things are mutually exclusive.
Welcome to the inflationary times. This is all possible. Just make sure expenditure increases in nominal terms while taxes and debt don't decrease in real terms
There's only one thing notable about this budget. From the downgrading of growth estimates since March 2016, it is now clear that the much-derided Project Fear financial estimates were pretty good. The Brexit damage is arriving, just as predicted.
"Using a negotiated bilateral agreement like Canada as the central assumption for the alternative, Britain would be worse off by the equivalent of £1,800 every year for every man, woman and child in Britain after 15 years, and overall GDP would be lower by 6.2%. Other options being proposed would be worse still."
Britain has suffered half of that 6.2% difference already since the March 2016 forecasts.
Can we revisit this in 2021/22. No one has suffered anything other than having to read the OBR forecasts.
The growth rates are getting a lot of attention but they are almost certainly nonsense. For a start are we really going to have another 5 years without recession? That will be 15 years from the last recession. Seems a very long cycle.
Comments
Can't listen to this rubbish.
We've been through all this first time buyer supposed loop hole previously however.
Only plumbers doing most of their work for businesses need to be VAT registered at the moment.
Oh, and a huge amount of business for tradesmen is still in cash.
Surely even he realises that in the next five years, the Tories will relentlessly undermine Corbyn's economic credibility and expose him as a man of empty postures. The situation in 2022 will be very different, and the Tories will not be in own goal scoring mode but will have a ruthless anti Corbyn strategy which will get the over 55s who abstained in 2017 out to the polling booth.
Not sure whether it is going to strike home even with the Mo team.
Higher-rate tax threshold to increase to £46,350
The first time buyer is now at a MASSIVE stamp duty advantage compared to buy to let landlords though.
Which is positive, home movers somewhere in the middle.
What matters is getting the soundbites out there for the media to pick up. It's perhaps best to wait to see what clips of Hammond and Corbyn the media decide to use.
One person's 'shouty' might, out of context, seem 'passionate' to others.
Isn't that what he did last year?
Surely the worst one ever was when Cameron missed the fact that Brown had effectively put income tax up for the lowest paid and it was left to Nick Clegg - briefed by Vince Cable - to point it out.
Does he have any idea what he is talking about?
Would imply you pay no interest at all.
Suggestion was actually that interest should not exceed capital.
My brother will be royally peeved, he bought a flat for £280k near Twickenham six months ago.
Martin LewisVerified account @MartinSLewis
4m4 minutes ago
Sadly for those buying jointly "Where there are joint purchasers, all purchasers would need to be first-time buyers. "
9 replies 22 retweets 13 likes
I am also very pleased he took properties under £300 000 out of stamp duty for first time buyers as I am just about to complete on a flat I bought just under that price.
LOL.
You were wrong. Difficult to admit, I know. But completely wrong.
Or insist the purchaser is an owner occupier. That would work too.
edit: aside from content, which is very painful indeed.
The VAT threshold hurts worst those who don't get to reclaim much input VAT.
Forgive my (rational) paranoia, but....
What about the tories post-election student loans promise to raise plan 2 repayment threshold to £25k + rising with avg earnings?
Makes no sense not mentioning it. It was bloody expensive for the chancellor.
They haven't gone back on it, surely?
Already the case.
Sort of gives message that Brexit isn't causing a shock.
(Despite lower growth)
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/661480/autumn_budget_2017_web.pdf
"Using a negotiated bilateral agreement like Canada as the central assumption for the alternative, Britain would be worse off by the equivalent of £1,800 every year for every man, woman and child in Britain after 15 years, and overall GDP would be lower by 6.2%. Other options being proposed would be worse still."
Britain has suffered half of that 6.2% difference already since the March 2016 forecasts.
Footnote 4.
Hammond missed a free kick at an open goal, there.
The Cleveland Browns have a small chance to make the play offs.
1 in 19,649,922,085,696,900,000.
It is covered in reports at the time
http://news.bbc.co.uk/1/hi/uk_politics/6472999.stm
However, it was only really a Big Major Issue months and months later.
https://en.wikipedia.org/wiki/10p_tax_rate
"Gordon Brown announced in 2007 that the reduced tax rate for low incomes would be abolished from April 2008.[7] This meant that all income above the personal allowance and below the higher rate band would be taxed at 20%, with the effect that taxpayers earning above the personal allowance would be up to £232 worse off each year.[8]
The abolition of the 10% tax band came into effect at the start of the 2008 tax year and was the source of considerable criticism. High-profile figures protested, including former minister Frank Field.[9]"
https://www.theguardian.com/politics/2008/apr/30/economy.gordonbrown
April 2008
http://metro.co.uk/2017/11/01/brexit-has-already-cost-each-household-600-a-year-7046177/