Tag Archives: asia
New housing commission launched in UK
A new Housing Commission has been launched in the UK to explore new routes to house building so councils can enable the construction of more desperately needed homes. Councils built nine times more homes between 2010 and 2015 than between 2000 and 2005 and are desperate to dramatically increase the availability of new homes in their local areas, according to the Local Government Association. The LGA said this is vital to building the 230,000 new homes the country needs each year as private developers have not built more than 150,000 homes a year for more than three decades. The Housing Commission will also explore the importance of effective housing in boosting jobs and growth, helping meeting needs of an ageing population, saving social care and the NHS money, and helping people into work. It will look at new ways that councils can enable investment in new homes, the role of councils in shaping homes within prosperous places and communities, the role of housing in supporting tenants to find and progress in sustained employment and the role of housing in adapting to an ageing population and preventing onward costs onto social care and health services. Evidence is sought on the key issues for communities, partners and councils, on good practice that has successfully addressed those issues, and what is needed to build on those successes. Councils, partners, organisations and individuals are invited to contribute their issues, evidence, and examples of effective housing and ideas to the Commission's Advisory Panel, made up of experts and academics. The Commission will take a medium term view incorporating current housing reforms but will look beyond them in making the case for councils to be able to deliver the homes our communities and places need. Findings will be brought together in a report in Spring 2016 and presented at the LGA Annual Conference in June 2016. ‘We're working with government to ensure housing and planning reforms support council efforts to build more homes and the Housing Commission we are launching today will investigate how the government and councils can help deliver houses to solve our housing shortage,’ said Peter Box, LGA housing spokesman. ‘Councils must be able to play a lead role in building the homes we desperately need, and building the homes in a way that create prosperous places and growth, help people into work and positively adapt to an ageing population,’ he explained. ‘This is the best way to meet local and central government ambitions for our communities, to reduce waiting lists and housing benefit, keep rents low and help more people live long and happy lives,’ he added. Continue reading
UK taxman cracks down on property tax avoidance schemes
The UK taxman has collected £301.8 million in unpaid property tax due to what is described as an aggressive clampdown on stamp duty avoidance. HMRC’s new Counter Avoidance Directorate collected the amount in the last year as part of a policy to crackdown on Stamp Duty and Land Tax (SDLT) avoidance schemes. According to private client law firm Collyer Bristow, the data which was provided to them by HMRC, shows that the policy has been a success. The Counter Avoidance Directorate was first established in April 2014 in order to bring together HMRC’s work on marketed tax avoidance schemes and policy work on avoidance. ‘The Government’s aggressive clamp down on SDLT avoidance schemes over the last few years is now bearing fruit. The high returns from compliance investigations mean that this area is likely to remain under the spotlight for some time to come,’ said James Badcock, partner at Collyer Bristow. He pointed out that house prices have soared in recent years- particularly in London and the South East- which means many taxpayers face a substantial SDLT bill on their purchase. ‘Avoidance schemes were being used to reduce SDLT on what for London are relatively modest properties in the £1 million region as well as very high value properties. As well as the Government closing down schemes with legislation, HMRC has tackled previous planning through the disclosure regime, better resourced investigations and litigation,’ he explained. He also pointed out that whilst in many cases there is likely to be a legal justification for transactions which allowed an SDLT liability to be avoided, HMRC can be expected to challenge the schemes and anyone who is concerned at all should now seek advice. ‘Individuals who decided to engage in the planning because it seemed so easy at the time may not have the stomach for the fight once faced with an HMRC challenge This can be expensive but another critical factor is a climate in which engaging in abusive tax avoidance can cause reputational damage to those in the public eye,’ he added. Collyer Bristow highlights that changes to the rates of SDLT were introduced in last year’s Autumn Statement. The new rules included the introduction of a graduated rate moving away from the sharp increases resulting from a property just exceeding a threshold which could seem unreasonable. The change means anyone purchasing a house for less than £937,000 will see SDLT cut or remain the same whilst those buying the most expensive properties are likely to face a higher bill. Continue reading
Sales to first time buyers up in the UK, latest estate agent data shows
The number of sales made to first time buyers in the UK rose for the second month running, to the highest level in six years, according to the latest housing market report from the National Association of Estate Agents (NAEA). The October report show that there was an average of nine sales made per estate agent branch in total and 31% of these sales were to first time buyers. Last month, the group accounted for 29% of all sales, and in August just 20%, showing an 11% jump in just two months. ‘It’s really promising that, for the second month running, the number of sales being made to first time buyers has risen. Competitive mortgage products and the increasing pressure of an interest rate rise could be encouraging first steppers to take the plunge, as well as the dwindling supply of rental housing stock, putting pressure on renters to buy,’ said Mark Hayward, NAEA managing director. The report also points out that the supply of available housing increased in October, ahead of the Christmas slowdown. The number of properties available to buy per branch increased by 16% from 37 in September to 43 in October. On the other hand, demand for property dropped slightly from an average 342 house hunters per branch in September, to 336 in October. ‘Although it is great to see supply growing and demand falling, albeit by just 2%, we cannot rest in the knowledge that the housing market is on the ‘road to recovery’. What we’re seeing is a seasonal uplift,’ said Hayward. ‘Those selling their homes are keen to push through sales before Christmas, hence the uplift in properties entering the market but with the average sale taking between nine and 12 weeks, it’s unlikely transactions will be pushed through before Christmas now. Buyers are holding off until January to kick off the New Year with a house hunt,’ he explained. ‘The only way we can attempt to repair the market is simply by building more houses. Osborne’s pledge last week to build 200,000 new and affordable starter homes, with a discount for those under the age of 40, and his promises to offer loans to small builders, reform the planning system and re-designate commercial land to build new homes are all a step in the right direction. But until it’s all put into motion and we see the walls of new properties going up, we’re not holding our breath,’ he added. Continue reading
