Stamp duty exemption could encourage downsizing

An alliance of pension groups, insurers and retirement home builders has written to the Telegraph to argue that older people should be given stamp duty exemptions to encourage them to move into retirement homes. Organisations including Legal and General, the Civil Service Pensioners Alliance and the National Federation of Occupational Pensioners say financial incentives such as stamp duty exemptions and extending the Help to Buy scheme could ultimately free up homes for younger people and reduce the pressure on the public purse. Around 60% of older people in Britain say they want to downsize. The Scotsman sees things differently, arguing that first-timers could be priced out of the market if the older generation benefits from regulatory changes and embarks on a “grey pound” spending spree.