No more HIPs, no more stamp duty and no more inheritance tax?

by Money Doctor Monday 01 October, 2007

Naturally this would be very good news to many of you if it were true. Sadly it's not true...but it could be!

However it would need the Tories to win the general election and get into power to make it a reality.

The Conservatives have unveiled their manifesto for a snap general election with the unveiling of stamp duty and inheritance tax cuts financed by increasing levies on millionaires who are not classed as residing in Britain.

George Osborne, the Shadow Chancellor, said that that a Conservative government would remove stamp duty for hard-pressed first time buyers, and promised tax breaks worth £2,000 a year for 1.8 million families raising children.

Osborne's promise means that the Tories would raise the threshold at which death duties must be paid on estates to £1 million pounds, from £300,000 now, is a bold move.

Soaring house prices in the past ten years have sucked many middle-class families into the net for death duties, or inheritance tax and because of this, Osborne said, "In a Conservative Britain, only millionaires will pay death duties."

The party is also proposing to exempt over 200,000 first-time home buyers from paying property taxes on houses worth up to £250,000.

Both measures would be financed through an annual levy of £25,000 a year on rich foreigners living in Britain who pay no tax on their overseas income!

Wealthy foreigners such as Chelsea football club owner Roman Abramovich and steel magnate Lakshmi Mittal have come to London, but the relatively small amount of tax paid by such people who do not have their tax base in Britain has sparked widespread anger.

It was Gordon Brown when he was Chancellor that encouraged foreign millionaires to live, and spend their money, in Britain!

Mr Osborne denied that the measure, if enacted, would drive people away from the UK:

"People have a choice; you can either register for this offshore status and pay this levy or you of course bring your tax affairs onshore. I don't want to drive people away from this country. I think it is incredibly important for London and the whole of the UK economy that we have residents here, people who bring their wealth and their talent and their ingenuity."

"I don't want to go chasing their income in offshore bank accounts; I don't want to set up some incredibly complicated system for finding that income... All I am asking these people to do ... is that they pay this levy which I think is set at a pretty modest amount for most of them" he added.

The Tories also said that they would get rid of the highly controversial Home Information Packs, after Shadow housing minister Grant Shapps said that the Government had ignored repeated warnings about them.

Mr Shapps said: "The experts ridiculed them. The industry doesn't want them. The market doesn't need them. And I can pledge to you today, the next Conservative government will scrap them."

The Tories have fought a fierce campaign against HIPs, which were introduced in stages earlier this year after a series of delays.

Mr Shapps accused ministers of ignoring repeated warnings that, far from streamlining the house-buying process, HIPs were "clumsy and ineffective.

So, are the Conservative proposals economical and realistic?

And if so, would they be worth voting the Tories in for at the next General Election?

Why not let us know what you think?

HIPS hit 3 bedroomed homes

Categories for this post: More Money Stuff

Related posts

Comments

david harvey says:

Tuesday 02 October, 2007 / 16:10

Their talking sense, HIPS was a crazy idea in the first place. Waste of money and waste of time. The losers are the ones selling and buying houses and winners are the ones that are lining their pockets. You have to think hard who they are? All HIPS have done is slow down the housing market. Can't wait for the Tories to get in and start sorting out the mess this Labour Party has done to the Housing Market.

Mike Kelly says:

Tuesday 02 October, 2007 / 16:10

The sooner Labour is kicked out the better
Hips
immigrants out of control
NHS
Inflation
Tax
Crime
etc etc just a few of Blair/Browns cockups!

Mike Lee says:

Tuesday 02 October, 2007 / 16:10

All great news - but try persuading those that would not consider voting Tory even if a zero tax rate was introduced for all! Such a crying shame for those with the openness to consider change - we can only but hope.

simon hadley says:

Tuesday 02 October, 2007 / 16:10

lets get them in quick, at least somebody seems to be thinking with some commonsense for a change.

tammi armstromg says:

Tuesday 02 October, 2007 / 17:10

i would like to see more help for married couples with children.
why is it single parents get lots of help with rent, council tax free school meals and childcare its not fair.
my sister and partner have just managed to get on the property ladder but cannot afford to start a family because they need both wages to pay for it.
i suppose we could all commit benefit fraud all you get is a slap on the wrist its worth the risk ive just got more pride

gab says:

Tuesday 02 October, 2007 / 17:10

I have always voted labour. But with all these ridiculous stuff that blair/brown have done to cripple this nation.

I am never voting labour again they are sheeps in wolves clothing

gab says:

Tuesday 02 October, 2007 / 17:10

sorry

quote again

Labour are "They are wolves in sheeps clothing"

homi says:

Tuesday 02 October, 2007 / 18:10

I have lived through tories and labour times and both
give promises which can not deliver.

Chrissie M says:

Tuesday 02 October, 2007 / 19:10

This is great news as HIPS is just another of labour's silly ideas....

It would also be great for homebuyers too not having to pay such a hefty stamp duty due to inflation on houses now...

I never wanted labour in - and I have always voted against their principles.. Hopefully - others will see them for what they really are - sharks!!!

RUSSELL says:

Tuesday 02 October, 2007 / 20:10

I absolutely hate what this bunch of communists have done to this country, nurturing crackpots into powerful positions of local authority, CCTV/revenue cameras on every street corner and legislation that wants to know how often you change your underwear, ever noticed how the latest changes in law are conveyed on radio adverts as a threat if you don't do as you're told, 'you can't hide, we'll find you', 'we will get you...' Most notable the advert about the computer that will have your car/bike crushed - sometimes I think I'm living in the old East Germany. Their practice has been to make sure that everyone has something to be afraid of in the hope that they will keep their mouth shut. I sat in the usual rush hour traffic today (on a motorbike) and pondered the fact that all the cars I could see were present all over the country at about the same time - I couldn't help wondering how many of these drivers and their passengers would swap their nice warm cars for a freezing cold wet tube/train platform or smashed bus shelter, hoping not to get mugged and avoiding eye contact with even preteen yobs, instead of spending an extra 2.35p on a litre of unleaded - the 0.35p being the Value Added Tax on the tax increase by the way! These crooks know that nobody will stop using their cars, environment be damned, and are banking on this to pay for Brown's lavish financing of freebies for the misguided morons who are most likely to vote for him and for such things as fee-free higher education in Scotland (no huge debts for their kids), where his actual constituency is by the way, and free prescription charges for all but the English!!. GOD I HATE THEM. Get the Labour parasites out NOW! (incidentally, I am a Welshman policing London and if I sound bitter, its because I bloody well am with two adult sons who are prepared to work for everything they get the old-fashioned pre-labour way)

Kat Hadley says:

Tuesday 02 October, 2007 / 20:10

As a hard working taxpayer who has work since leaving school, I resent the fact that when I want to move house its going to cost me upwards of £37,000.00 (stamp duty being 55%/60%of this amount). I live in south Hertfordshire and pay heavily for the privalige.
PLEASE LET THE TORIES IN, 'HIPS' is a nightmare and not worth the paper it's written on.

Inhertance tax is unfair as tax payers we have already paid tax on this money at some stage.

I only hope that the cuts in stamp duty will be across the board, not just for 1st time buyer, if houses sell it has a knock on affect with other businesses it keeps the money moving.

SO COME EVERYONE USE YOUR VOTE !!

IAN H. says:

Tuesday 02 October, 2007 / 20:10

£700/£800 For a HIPS report, £200 if you don't bother. It's a no brainer. Everyone should say stuff your HIPS Ruth, they're a total waste of time and money. Labour have totally or very nearly destroyed our once Great country, stop them completing the task. Or we'll all be sorry.

paul says:

Tuesday 02 October, 2007 / 21:10

you daft bunch of right wingers! How do you think these 'tax cuts' are going to be financed? As for Labour screwing up housing; look at decades of underinvestment by successive Tory governments. And for those of you who seriously think "immigrants out of control" you'll find the political party you are looking for under 'Nazi'.

Beth says:

Tuesday 02 October, 2007 / 22:10

Bunch of right wingers on here. Loads of false promises that can't be kept as usual. The figures don't add up. The "non-domicile" people will just go somewhere else and we will pay for all of this through "green" aka stealth taxes! £1 a litre not dear enough guys!?!?!?!?

Glen says:

Tuesday 02 October, 2007 / 23:10

Get rid of hips? and pay the surveyor fees again? no thanks, I got sick and tired of having to pay over £1000 per house to a surveyor.

As for the tax cuts? HA! are you people stupid, where else will the money come from?

"you?ll find the political party you are looking for under ?Nazi?." > they're called the BNP now!

Graham says:

Wednesday 03 October, 2007 / 06:10

To Paul, Beth and Glen. Right wing? Under Labour-
Taxes up year on year, Services down!
Crime up year on year!
Immigration out of control!
NHS/Councils underfunded!
A war no one wanted that has cost British lives and billions of pounds!
Cow towing to religious/racial groups!
John Prescot!
I could go on for pages but you get the gist, labour doudn't and never will be able to run a bath let alone the country! Who are realy the 'daft' and 'stupid' ones on this comment page? Right wing? You bet I am!

phil garner says:

Wednesday 03 October, 2007 / 09:10

all this bull about the enviroment is a tax fiddle again!if it's that bad why are china building 250 coal fueled power stations?it seems we pay up and other countries do what they want?
if it's that bad put road tax on fuel not the size of car,i by the way own a british 4x4 and proud to do my bit for british motor industry ok?if a retired couple want to run a 4x4 as they cannot get into a conventional car and only use two gallons of fuel a week compared to reps who burn lord knows how much in a smaller car but do lots more miles why should they be penalised as destroying the planet?
these Hips are a waste of time,all you need are the old utility bills to show energy consumption.the other items need to be watched as very rarely they change that quickly,it's a con by the government to get work for their cronies and keeps solicitors taking weeks to conveyance houses!(conveyancing before email days could be done in twenty minutes,why nowadays more like 20 weeks?

(This comment has been edited)

Mark C says:

Wednesday 03 October, 2007 / 09:10

Graham - have a look at the facts instead of the latest Daily Mail / Express view of the world. (I also wonder if you had the same view about the war when it started!?!)

Of course this Government haven't been perfect and I disagree with lots they've done but strangely I quite like the most stable economy we've had for decades - the reduction in poverty levels - the growth in home (and second home) ownership - the improvements in education (my kids are definately better off than I was)....

I could go on for pages...

Of course we can all dream of the days when we had a boom bust economy - interest rates hit 15% - there were mass demonstrations in every town against the most hated tax in centuries - the British manufacturing industry was destroyed - there were riots in our innner cities .... ah the good old days!!

Kev says:

Wednesday 03 October, 2007 / 10:10

Glen, What makes you think the HIPS is going to stop you paying surveyors fees?
The whole point behind this is the fact that the HIPS have not been implemented properly.
If the pack included a proper survey that the mortgage companies would accept as valuation, OK. If it included a proper structural survey, great. Electrical installation and heating/plumbing survey even better.
Unfortunately, the HIPS concentrates too much on making money than actually giving any useful or usable information. In the drive to be green, the energy efficiency of the house is given more emphasis than whether it will actually stay standing!

Its just another example of a good idea badly implemented by a bunch of fools who try to disguise their tax hikes by claiming they are doing their bit for the environment.
Everybody knows that the 2p per litre on fuel wont drive people off the roads and onto public transport so it's just another way to swell the coffers!
The only way we are going to actually get tax cuts is if we stop the influx of immigrants coming in, contributing nothing and claiming benefits, dont automatically give people benefits and we wouldnt have half as many people sitting around contributing nothing to society and getting paid for it.


There are comparisons to be made between any party and the Nazis, and alot of their policies were actually very good and ahead of their time

You comment about the BNP...
Check out their policies.
Alot of what they say could make a hell of a difference to this country and restore it to its former glory!

It's probably not what you think.
Times change...

marts says:

Wednesday 03 October, 2007 / 11:10

There have been some interesting comments here and i am not quite sure how we got from HIPs and stamp duty to immigration and the Nazi party! Smile

Anyway, just some thoughts on some of the above comments...

Firstly, i take the point made about how it seems we can't talk about immigration without being labelled a "nazi".

Immigration is about 2 types of people and we need to make the distinction clear!

There is a clear difference between a) immigrants /asylum seekers whio come to this country, do not contribute economically and add further strain to our overstretched resources and local authority services and b) economic migrants who come to this country to settle, work and by doing so add benefit to our economy etc.

The facts support it:

According to official UK government estimates, approximately 1,500 migrants arrived to live in the UK every day during 2005. The number of people settling in the UK in 2005 to 179,120, with employment-related grants of settlement only accounting for 63,015.

However, this is a problem that is not unique to the UK; most countries in the world have the same issue!

America,Canada, Australia and New Zealand all have very strict immigration/migrant controls based on a set number of people who can settle each year and its based on work experince and what they could contribute to the country and its economy.

It works for these countries and funnily enough they don't seem to be drowning under the weight of immigrants/asylum seekers like we are; most of them are not labelled "nazi" for doing so (well, perhaps America but there you go...!)

By all means, lets discuss the issue, but lets do so with the facts at hand!

michael says:

Wednesday 03 October, 2007 / 11:10

i agree with kev. this country is washed up under labour. its tax tax and more tax. twenty five percent of the working population work for the state and create no wealth. anyone who speaks out against immigration is classed as being a nazi. what a state this once great country is in. it is like living in the soviet block counties. surveillance everywhere, talk of dna databases for all of us, constant compliance for new regulations introduced every other day with draconian powers given to more and more jumped up jobsworths. did anyone see dispatches on channel 4 about that somali women asylum seeker on 36k benefits complaining it wasnt enough and 43 percent of council houses going to somalis and 9 percent to locals. this was in east london. im glad i live in geordieland where it still feels like being in great britain. if speaking up for our own is being a nazi then i will be proud to join the cause. i will probably be watched by the powers that be now for not towing the line. where did free expression go in this once great country.

marts says:

Wednesday 03 October, 2007 / 11:10

...oh and by the way, HIPs are pointless and i agree wiht the majority of comments about how much Labour has damged this country in the last 10 years; but that is what you get for being lemmings and not being brave enought to vote out Tony Blair and Labour when you got the chance!

And i say that as a staunch labout supporter for the last few years!!

I voted for them as i grew up under Thatcher and that was bad enough. I never thought anyone woudl do a worse job of ruining this country but good old Tony did...silly me for voting him in.

Clearly, its time for a change again...bring on the General Election!

KEITH SHILLITO says:

Thursday 04 October, 2007 / 04:10

WHAT THIS COUNTRY NEEDS IS HONESTY WHY IS IT WHEN ONE PARTY COMES UP WITH AN IDEA THE OTHER ONE ALWAYS MOCKS THIS , IT HAPPENS ALL THE TIME,PEOPLE ARE SICK OF IT ALL. WE DONT WANT H.I.PS, WE DONT WANT MORE TAX ON PETROL WE WANT A BETTER NATIONAL HEALTH SERVICE , FAT CAT PAY TO BE LESS SCRAP THE T.V. LICENSE, SCRAP COUNCIL TAX MAKE EVERY ONE OVER 18 PAY A LITTLE ON THE INDIVIDUAL NOT THE HOME , DONT GIVE BENEFITS TO IMMIGRANTS FOR THE FIRST 2 YEARS OF RESIDENCE, CRIME IF YOU ARE GUILTY YOUR GIVEN THE CORRECT SENTENCE , LIFE MEANS LIFE NOT OUT AFTER 6 YEARS . ANY PARTY WHO WILL DO THIS WILL GET IN BUT THEY WONT WHY NOT PUT ALL THE LOTT.ERY MONEY INTO THE HEALTH SYSTEM THEN IT BENEFITS EVERY ONE .
OR PUT THE CHOICES OF WHERE THE MONEY GOES ON THE CARD YOU BUY AND YOU SAY WHERE YOU WANT YOUR MONEY TO GO . IT NOT ROCKET SCIENCE TO COME UP WITH SOLUTIONS ANY PARTY WHICH WOULD DO THIS WOULD GET IN EASY.

Matty G says:

Thursday 04 October, 2007 / 14:10

Keith you make a lot of sense, but you are an idealist I am not meaning to mock you buts lets face the overwhelming fact ALL politicians are in it for one reason only. To line theirs and their crownies pockets. that is why only sixty percent of the electorate can be bothered to vote and why neither party has made it compulsory to do so. Even so we can all hope that the "Fair and common sense party will nominate a candidate in our constituency. Oh and I agree withy all the immigrant comments.

Richard says:

Thursday 04 October, 2007 / 21:10

Ian H "£700/£800 for a HIP" ??????

Don't believe everything you read mate!

I am an estate agent and pay £279 + VAT for HIP's.

I do believe that HIP's in their current format are a very weak proposition, the only benefit at the moment for me is the reduction of vendors coming to market, that said, i am finding that this could be due to "serious sellers" marketing and not timewasters who wish to market but will only sell if they get an offer way over market value. This reduces my wasted time and costs.

I do hope the Home Condition Report(HCR) is
re-introduced as a mandatory element, produced in a format which would be acceptable by a mortgage lender for lending purposes.
This WOULD speed up the transaction process, reduce abortive sales, which would result in saving the vendor and the buyer, both time and money.

Johnny says:

Friday 12 October, 2007 / 16:10

The labour proposal on IHT is not being clearly explained. They are not giving married & gay couples a new limit of double the existing limit as keeps being stated; this has been available for years with a visit to your solicitor and a few hundred pounds spent - quite legally. All the Chancellor has done is make this arrangement automatic. So saving the money and trouble of going to a solicitor. About 500,000 couples have already set these schemes up.

WilliamT says:

Friday 19 October, 2007 / 18:10

Dear me,

Why is it that Labour sympathisers always sound so wet?

They are, and will probably always be, fairly clueless as to the meanings of 'fairness' and 'individual freedom', but, then again, they are usually the ones who are happy to lie prostrate on the ground and let a bunch of misguided pie-eating political bullies walk all over them in the name of 'social justice'. It's all rather pathetic, really. And their rather predictable response to anyone who speaks out against the CCTV/Benefits/Tax and Waste society we now unfortunately have to suffer is: You're all right wing Nazis.

Wrong.

We're all rather level headed folk who value the things we no longer have. There is no price on freedom.

And I will not be sending my son to a state school, nor will he suffer a state hospital, nor will he be dependant on ineffective state transport. If I can't afford to give him the options, due to the envy-driven politics of the Left, then I will simply leave this once marvellous country and live elsewhere.

That is unless I need a special visa from the Department for Escape and Evasion, which will no doubt cost a fortune. Plus VAT. And I will no dount have to sign a form declaring my undying support for the ruling Lefties and stating quite clearly that I'm only leaving the country as I'm not worthy enough to pay tax in it.

Labour OUT.

And, frankly, for those of you who insist on voting for them, why not stop the squabbling and split the country. You can have the North. Those of us with lashings of common sense can have the South.

No more worries.

You choose where you want to live by the political philosophy that is prevalent in that area.

The ultimate Blairist choice.

If only...

Mark says:

Wednesday 14 November, 2007 / 08:11

YOU DON'T NEED A HIP FOR ANY PROPERTY!!!!!
How many more times do I have to say it?

If your property was on the market before the deadline, you don't have to have a HIP. "On the market" can mean privately. All you have to say to the estate agent is that your property has been on the market, privately advertised (by a card in the window), since before the deadline.

Fortunately Yvette Cooper is an idiot!

There is no way of checking when your house went on the market if you advertised privately.

James McFarlane says:

Friday 16 November, 2007 / 15:11

If labour as its way there will only be foriegners left living in the UK we are second class citizens in our own country
I recieve £61-00 per week on the sick and have never had a days illness in my life up to being diagnosed with angina I have had to pay to go Private to have stents. My son recieves half of what an asylum seaker gets for fighting for his country and lives in housing that would not be good enough for an illegal immigrant what is happening to this once great country

Add comment

(required)

(required, will not be published)
 
(optional)

[b][/b] - [i][/i] - [u][/u]- [quote][/quote]



Live preview

says:

Sunday 07 September, 2008 / 16:24


Recent comments