A taskforce commissioned by the Government to look into housing issues for older people has called for ‘last time buyer’ Stamp Duty incentives,
The Older People’s Housing Taskforce was commissioned by the Department of Health and Social Care and Ministry of Housing, Communities and Local Government to investigate older people’s housing needs.
The independent group published a report yesterday that said an estimated 30-50 thousand new later living homes are needed per year to meet the needs of the ageing population, but it said only around 7,000 are built each year.
The vast majority of the population over 65, more than 90%, currently live in mainstream housing, according to the report.
Only 12% of older people had level access at the entrance of their building and less than half have a bathroom on the entry level of their home.
Older people are unaware of the options available to them, and admit to burying their heads as to their future housing needs, the report warns.
It suggests that private leasehold options are unaffordable for the majority of English households aged 75 years and over.
One suggestion is to create a last time buyer Stamp Duty relief similar to what first-time buyers receive.
The report suggests senior citizens downsizing to smaller properties would not pay Stamp Duty Land Tax (SDLT) on properties worth up to £425,000.
In order to address one of the disincentives to moving to rental accommodation, allowances should be considered that make income arising from the sale of the family home tax free (for example, via a ‘Downsizer Individual Savings Account (ISA)’ or ‘Downsizer Allowance’) which would mean senior citizens would no longer pay income tax on the income they receive from the proceeds of the sale of their previous home.
