Conservative Party Pledges to Abolish Inheritance Tax on Family Homes
Shadow Chancellor Andrew Griffith outlines plans to reduce housing costs and support homeowners.
The Conservative Party has announced plans to abolish inheritance tax on family homes, a move aimed at supporting homeowners and young people aspiring to own property. Shadow Chancellor Andrew Griffith stated that the party's proposals focus on making home ownership more accessible and reducing the financial burden on families.
Griffith explained that scrapping mandatory Net Zero and stringent building regulations could lower the cost of new homes by up to £50,000. He argued that decisions about home heating and energy efficiency should be personal choices, not dictated by government regulations. The party also reiterated its commitment to abolishing stamp duty on primary residences, a tax Griffith contends hinders the housing market and community development.
Additionally, the Conservatives pledged to repeal what they describe as Labour's "family homes tax." Griffith characterized this tax as affecting ordinary individuals in major cities and those in homes located a significant commute from the capital, potentially costing individuals up to £75,000 over a decade.
On inheritance tax, the party intends to abolish it entirely on the family home. While preferring to eliminate death duties altogether, they emphasize that tax cuts must be fiscally responsible and align with deficit reduction goals. Griffith stated that taxing grieving relatives is wrong and contrasted this with Labour's approach, which he claims taxes homes at purchase, during ownership, and upon death.
To address recent threshold freezes, the Conservatives also plan to raise the inheritance tax threshold for other assets. This would allow a couple to pass on £1 million, in addition to their home, tax-free. The aim is to prevent individuals from being compelled to increase their home size solely to avoid inheritance tax, while acknowledging that the wealthy may still utilize complex tax avoidance structures.
Griffith suggested that these proposals, alongside extended childcare support and plans to halve the jobs tax for 21-to-24-year-olds, demonstrate the party's commitment to supporting working individuals and those seeking employment.
"We are the party of home ownership – you’ll be better off with us," Griffith concluded, drawing a parallel to an old Greek proverb about planting trees for future generations.