Kemi Badenoch has announced that a future Conservative government would scrap stamp duty on primary residences in England and Northern Ireland, a policy she unveiled at the party’s conference in Manchester. The move, estimated to cost £9bn a year, is part of a broader effort to bolster the party’s economic credibility and define its vision ahead of the next election.
Badenoch told delegates that abolishing the tax on house purchases over £125,000 would help make home ownership a reality for more people. ‘Home ownership should be a dream that’s open to everyone,’ she said, adding that the policy would benefit ‘the young professional buying their first flat, the couple looking for somewhere to bring up their first baby, the growing family hunting for their forever home’. Stamp duty would still apply to additional properties bought by companies and non-UK residents.
Many economists criticise stamp duty for slowing the housing market and discouraging moves that free up larger homes. Chancellor Rachel Reeves has considered replacing it, though sources say she is unlikely to do so in this year’s budget. Badenoch, however, argued for outright abolition to stimulate the economy, claiming it is affordable due to nearly £50bn in promised spending cuts by 2029, though economists view those cuts as vague.
The stamp duty pledge was one of several policy announcements at the conference, including leaving the European Convention on Human Rights, repealing the Climate Change Act, and slashing welfare payments. This flurry marks a shift from Badenoch’s earlier insistence that the party would not set out its stall until 2027; an aide said a doorstep conversation with a voter who no longer knew what the Conservatives stood for prompted the change.
Badenoch also outlined a ‘golden economic rule’ requiring that at least half of any savings go to reducing the deficit, a clear attempt to distance herself from the Liz Truss era. ‘Securing our borders, getting people into work, policing our streets, defending the nation – none of it is possible without the money to pay for it,’ she said, striking a note of fiscal responsibility.
