Prospective homebuyers can look to a helpful breakdown of insights from property experts on what the stamp duty holiday extension could mean for them. In Chancellor Rishi Sunak’s latest update in the March budget, the current stamp duty holiday was extended from March 31 until the end of June for homes under £500,000 and until the end of September for homes under the value of £250,000, allowing homebuyers the opportunity to save costs when purchasing a property. Property experts at FHP Living have compiled a list of the main insights for all prospective homebuyers to ensure they are clued up with the facts. “The extension of the stamp duty holiday from its original date of the end of this month until the end of June and September, will allow homebuyers a much larger window in which to progress with their moves and make important decisions. It will mean much more opportunity is available to those looking to get on the property ladder, buy another house or extend their portfolio,” said Steve Parker, director at FHP Living. “In what has been one of the most unprecedented years for many sectors, the stamp duty holiday initiative has been a major factor in allowing the property market to remain buoyant, and many of the developments that we are marketing, where we are based in Nottingham, have provided buyers with fantastic opportunities to save, across a spectrum of price ranges. “As a leading estate agent in Nottingham, we are pleased to see high quality homes continually being built in the area, improving the city’s residential offering for current citizens and the influx of people moving to the area. “It’s very positive news to hear that the stamp duty holiday has been extended, opening up many opportunities for buyers looking at a range of homes we are currently offering – including riverside developments such as Pelham Waterside, The Yacht Club, Trent Bridge Quays and The Waterside Apartments, and other developments within Nottinghamshire including Barton Quarter in Beeston and Hunters Wood in Gedling village.” Here’s what you need to know about the proposed stamp duty holiday extension: Opportunity to save Homebuyers can save as much as £15,000 in tax and homes under the value of £500,000 remain exempt from stamp duty. You will pay nothing on the first £500,000 of your property, but anything over this amount you will need to pay 5% stamp duty tax on for the next £425,000, up to £925,000. Rates are then 10% from £925,001 to £1.5million, and 12% for £1.5million and above, and this applies in England and Northern Ireland. Time to complete If the stamp duty holiday extension deadline had remained at 31 March, you would have needed to complete a sale by this date to benefit from the stamp duty holiday. With the extension until the end of June for homes under the value of £500,000 and the end of September for homes under the value of £250,000 – this will allow plenty of extra time for properties to progress and complete. Easing of restrictions With the government’s COVID-19 exit roadmap announcing the easing of restrictions from March 8, those who have been hesitant to attend viewings that aren’t virtual may find it useful to book in and see properties in person – allowing decisions to be made and things to move along faster, with an extension until the end of June and September. 95% mortgages As well as the stamp duty holiday extension, the government has confirmed a 95% mortgage guarantee scheme in the March budget, which will see 5% deposit mortgages reintroduced, allowing first time buyers a better chance at getting on the property ladder much sooner. This, along with the stamp duty holiday extension, means that the next few months will be an ideal time for prospective homebuyers to press on with their search and registrations of interest in new properties.

Ross Baxter, Managing Director of Saint-Gobain Off-Site Solutions, which comprises Pasquill, Roofspace Solutions, International Timber, Intrastack and Scotframe, said: “The housebuilding and construction industry are an essential part of the UK economy and its resilience has been severely put to the test over the past 12 months. I welcome the Chancellor’s positive announcements, which seek to provide reassurance to manufacturers, suppliers and house builders as well as homebuyers.  “The two-year tax deductible on investments will allow us to drive forward with our plans for continuous improvement, growing both our services and product portfolio. Meanwhile, mortgage guarantees and the extension of the stamp duty holiday until 1 June will keep the market moving and provide continuity of work for everyone in the sector, so we can deliver on the ambition to build back better.”

James Simmonds, head of UHY Hacker Young’s national drinks sector group and partner at its Nottingham office, said: “Sunak has announced that the business rates holiday has been extended to end of June 2021, which is great for the food and drink sector. However, many pubs, bars and restaurants may not be able to open until 21 June under the government’s current roadmap so, while this extension will be welcomed by the industry, it may not relieve many hospitality businesses from rent debt.  “The government also announced the continuation of the reduced VAT rate of 5% until 30 September 2021, along with an interim rate of 12.5% for a further six months to allow the consumer to pay reduced prices at the business’ discretion.  “Restart grants of up to £18,000 for hospitality businesses will also be welcomed – however, this sum is to the rateable value of the business’ property assets so the grant could be as low as £8,000 for smaller premises.   “The continuation of the freeze on alcohol duties for the second consecutive year will hopefully keep the consumer from paying increased prices and incentivise a return to pubs, bars and restaurants post-Covid.    “Additionally, the introduction of a community ownership fund will allow communities across the UK to invest in and protect what matters most to their area, which in many places may well be the local pub or hospitality business – something that could also bring benefits to the industry.”  For more information on UHY Hacker Young, please www.uhy-uk.com or call 0115 959 0900.  

FOLLOWING Rishi Sunak’s spring budget announcement, the stamp duty holiday will now be extended to 30 June 2021 and a 5% mortgage scheme will be re-introduced next month.   Jess Mitchell, office manager at Nottinghamshire estate agent Gascoines, said: “Following the initial government announcement to introduce a stamp duty holiday, the market saw house hunters relieved of costs and induced a mini housing boom as sellers were eager to take advantage and complete transactions in time.  “Rishi Sunak initially set the holiday, which extended to properties under £500,000, to end on 31 March 2021 but has announced the deadline will now be extended to 30 June with the nil-rate then lowered to £250,000 until the end of September. We’re therefore expecting to see a high number of properties listed over the coming weeks and offers placed in very short time periods, from now until September to really make the most of the extension.”  A government-backed 5% mortgage scheme will also be re-introduced to help current homeowners as well as first-time buyers looking to purchase a house for up to £600,000. The initiate will be available from April 2021 and has been designed to help “generation rent” become “generation buy”.   Jess added: “With the uncertainty surrounding Covid-19 over the last 12 months, the property market witnessed lenders withdrawing their 95% mortgage offerings and demanding deposits of 10 – 15%, with much higher interest rates.  “We’re starting to see these rates dropping back to normal levels again and with the new government scheme, we hope to see more first-time buyers coming through the door and getting their foot onto the property ladder.  “My advice would be to always aim for higher than your deposit and if possible, have this ready – along with a mortgage in principle – before you start looking for a house and seek advice from your local estate agents or mortgage advisors.”  To find out more about Gascoines or speak to one of the local property experts, please visit www.gascoines.co or call 01636 813245. For rentals and lettings, the property management team are also available to deal with any enquiries and urgent maintenance.   Alternatively, join the conversation on social media @gascoines. 

Property investment platform Brickowner has launched a secondary market for its property investments, allowing investors to buy and sell shares online.        The marketplace will allow Brickowner investors to list shares in investments funded on the Brickowner platform for sale before the end of the investment term so that other Brickowner users can buy them.   While the secondary market will initially feature only shares in investments funded on the Brickowner platform, the firm aims to make the marketplace available to boutique property fund and asset managers as a way of providing liquidity for their own investments.  Fred Bristol, Brickowner’s co-founder and CEO, said: “Brickowner is proud and excited to be launching its pioneering secondary market, offering investors the opportunity to buy and sell their property investments online.  “Asset managers and developers are often only able to offer investments for fixed terms, with no possibility of redemption until the term ends. Brickowner changes this, making it possible for their investments to have the opportunity for liquidity. We see this as a great partnership opportunity for many managers and are already speaking to a number of funds, asset managers and developers about its exciting potential.” “The pandemic has accelerated the adoption of online technologies in all sorts of fields, not least investing,” Bristol continued. “The ability to trade property investments simply and affordably on your phone or laptop is an example of how our industry is adapting to the seismic changes we are all seeing. We believe our secondary market puts Brickowner at the forefront of that innovation.”  Visit www.brickowner.com.  

The campaign for the government to ditch reverse charge VAT is mounting with the Federation of Master Builders, FMB, claiming two-thirds of SMEs believing it will damage cash flow. Scottish National Party MP Kirsten Oswald has already tabled an early day motion calling for the controversial new regime to be dropped. FMB chief executive Brian Berry said: “This is a damaging policy being introduced at the worst possible time for builders. By removing the flow of VAT money between businesses in the construction supply chain, four in ten builders say this will have a ‘significant or moderate’ impact on their cash flow.” The new regime was to have gone live in October 2019 but was deferred to 1st March 2021 following industry lobbying. The new policy means no-one in the supply chain can invoice for VAT and pass the money on later to the tax office. Build UK has told the government that many SMEs are fighting to consolidate their cash flow following the pandemic and the effects of leaving the EU. It has set up a Twitter hashtag #StopReverseVAT to channel responses from affected construction companies. The organisation calculates that for companies that submit quarterly VAT returns they will need an extra five per cent of annual sales to compensate for the loss of cash flow. Firms who submit monthly returns will need an extra three per cent of annual sales. “The introduction of the charge at this time will put jobs and businesses at risk and may result in companies that survived the Covid-19 outbreak and the UK’s withdrawal from the EU being undone by this additional burden,” said Build UK deputy chief executive Jo Fautley. Brokers Hank Zarihs Associates said that property development lenders would be there to support SMEs experiencing cash flow hardship. Licensing builders holds key to tackling fraud The new policy is being introduced to tackle missing trader scams where fraudsters import goods VAT-free from other countries and then sell to domestic buyers charging them VAT. City Lofts London director Deepak Sing Udassi believes a mandatory licensing scheme for the construction industry would be a better means for tackling the issue. “Due to the little to no regulation in the industry, rogue traders are able to operate freely, to the detriment of consumers and reputable businesses like mine. “Licensing would also drive-up standards, professionalism and the reputation of the industry, which is clearly not well regarded across Whitehall as demonstrated by this punitive policy.” Elland and Steel Structures Ltd managing director Mark Denham said: “If this initiative is applied from 1t March, it will be the ‘final nail in the coffin’ for many sub-contractors both big and small. “Reverse VAT penalises good honest companies that have continually paid their VAT on time.” Build UK is calling on all firms in the supply chain to write to their MPs to request support for the forthcoming early day motion.

•     £460,000 award from Local Growth Fund will be used to create an additional cut-through to ease traffic flow at NEC roundabout •     The scheme forms part of plans to provide the robust infrastructure needed to support anticipated growth within the area The Urban Growth Company (UGC) is continuing to progress its ambitious plans for the UK Central Hub in Solihull after securing an additional £460,000 of match funding from the Greater Birmingham and Solihull Local Enterprise Partnership’s (GBSLEP) Local Growth Fund to help improve a key traffic roundabout. The funding – alongside the £2.1 million previously awarded by the West Midlands Combined Authority in 2019 – will be used to design an additional traffic-easing measure to a roundabout currently located at the edge of the NEC campus. The introduction of a new cut-through will ease current traffic flow and ensure that existing infrastructure is able to support future planned growth associated with the arrival of HS2 and the new development at the nearby Arden Cross site. The roundabout improvement scheme – scheduled to be completed by June 2022 – is pre-emptive in anticipation of planned growth, minimising disruption, delivering cost savings and future-proofing the area for continuing development. The UGC-led scheme will create a cut-through that allows traffic travelling north to continue straight-on without having to enter the roundabout. The aim is to ease traffic leaving the NEC at Northway (the arm after the A452) and prevent it backing up on the A452. Sue Barrett, Commercial & Contracts Director at the UGC, said: “We are delighted to have received this funding boost from the LEP which is about so much more than a change to a roundabout design. Smaller, individual improvement schemes like this make significant contributions to our broader, strategic vision for The Hub.  They serve as critical enablers for growth by ensuring the area continues to enjoy unrivalled road, rail and air connectivity. “Our approach to future-proof The Hub also creates the confidence needed to attract future investment that will enable the major economic boost we plan to deliver in terms of jobs and homes. It’s also important that we look to a post -Covid future and ensure that our infrastructure supports the recovery of the major stakeholders across The Hub – the NEC and Birmingham Airport will be looking to ramp up their businesses again as soon as possible and this sort of project will help them to do that.” Michael Steventon, Non-executive board director at GBSLEP said: “Investing in infrastructure is an integral part of our work as it opens up access to businesses, workers, visitors and people living in the area. The longabout project will ensure traffic will keep flowing though Solihull and Birmingham – an important commuter corridor with its close proximity to the NEC and Birmingham Airport. Furthermore, with the development of HS2 and the new I nterchange Station, there is great potential for economic development in the area.  We continue to work with our partners in the public and private sectors to create opportunities for inclusive economic g rowth as we look towards a post-Covid recovery.” Councillor Ian Courts, Leader of Solihull Council, said: “Congratulations to the UGC and our transport team for securing the funds as well as coming up with a solution to this complex project.  Working with UGC and other partners, we will continue to maximise the economic benefit of HS2 coming to Solihull.  This funding will mean we can ensure easy access to The Hub and improved traffic flow in the area.” For more information about GBSLEP, please visit the  website, subscribe to its newsletter or followon Twitter and LinkedIn.