Is the government right to reduce stamp duty?

[diyhelp]

Amid rumours that the UK government is on the verge of reducing property stamp duty this begs the question, this might be the right move for the property market but what about general government finances? It is no secret that UK finances as a whole have been severely weakened as a consequence of the coronavirus huge financial assistance. We are talking literally hundreds of billions of pounds piled on top of already huge debts for the UK. Is it a step too far or the only real course of action for the UK government?

 

[lookinginvest]

This is tricky, if the UK government continues to plough more money into the recovery then this will eventually hit consumers and investors in their pocket with higher taxes. God knows what council tax rates will be next year!

However, there is an argument that we literally just need to get through the next 12 months to give the UK economy they fighting chance of recovering fairly quickly. I notice that talk of the V shaped recovery has reduced in the press of late.