Coronavirus: Boris Johnson resists calls to apologise for claim care workers 'didn't follow procedures' - Sky News

Downing Street has resisted calls for Boris Johnson to apologise for claiming some care workers "didn't really follow the procedures" during the coronavirus outbreak.

The comments were branded "a real slap in the face" and "clumsy and cowardly" by medics and campaigners - and the prime minister is facing calls to retract them.

Number 10 has stuck by the statement, made in response to a call from the head of NHS England to adequately fund the adult social care sector within a year.

'Too many care homes didn't follow procedures'

"We discovered too many care homes didn't really follow the procedures in the way that they could have," Mr Johnson said on a visit to Goole, Yorkshire, on Monday.

A government spokesperson clarified later that day he had been pointing out "nobody knew what the correct procedures were" because the amount of people with no COVID-19 symptoms transmitting the virus was unknown.

Advertisement

Mr Johnson's spokesman, asked during a Westminster briefing on Tuesday if he would apologise, said: "The PM thinks that throughout the pandemic care homes have done a brilliant job under very difficult circumstances."

:: Listen to the Daily podcast on Apple Podcasts, Google Podcasts, Spotify, Spreaker

More from Covid-19

Labour's shadow health secretary Jon Ashworth claimed care workers had been left "insulted" and "hurt", called for an apology and challenged the government to explain which care homes didn't follow which procedures.

Sir Keir Starmer said the comments were "shameful".

The Labour leader said: "At least 20,000 people have died from COVID-19 in care homes. Residents went without tests. Staff were left without PPE. And all after a decade of cuts to social care.

"Shameful of Boris Johnson for trying to blame others for his government's failures."

Image: Health Secretary Matt Hancock MP

Matt Hancock, the health secretary, declined to publicly criticise the original statement.

"Throughout this crisis, care homes have done amazing work," he told the House of Commons on Tuesday.

"The prime minister was explaining, because asymptomatic-type transmission was not known, the correct procedures were therefore not known.

"We've been constantly learning about this virus from the start and improving procedures all the way through."

And the business secretary stuck to the same script when he spoke to Sky News' Kay Burley@Breakfast earlier on.

Alok Sharma said he "noted" the criticism of Mr Johnson but insisted "nobody knew what the correct procedures were at the time".

But voices from outside government have been highly critical.

Special report: The killer in our care homes

Nadra Ahmed, the chair of the National Care Association, told Sky News: "I'm absolutely stunned the prime minister thought it was appropriate for him to make that comment and I think he should retract that comment and apologise."

Vic Rayner, executive director of the National Care Forum, said: "Care homes across the country were dealing with an extraordinary amount of different guidance that was coming out from government on an almost daily basis.

"So for the suggestion that they were not following procedures as laid out is totally inappropriate and, frankly, hugely insulting."

The Independent Care Group's chairman Mike Padgham said it was "upsetting" to hear Mr Johnson's comments and described them as "a real slap in the face for those workers after they have given and sacrificed so much".

"I think this - at best - was clumsy and cowardly," he continued.

"But, to be honest with you, if this is genuinely his view, I think we're almost entering a Kafkaesque alternative reality where the government set the rules; we follow them; they don't like the results; and they then deny setting the rules and blame the people that were trying to do their best.

"It is hugely frustrating."

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMihwFodHRwczovL25ld3Muc2t5LmNvbS9zdG9yeS9jb3JvbmF2aXJ1cy1ib3Jpcy1qb2huc29uLXJlc2lzdHMtY2FsbHMtdG8tYXBvbG9naXNlLWZvci1jbGFpbS1jYXJlLXdvcmtlcnMtZGlkbnQtZm9sbG93LXByb2NlZHVyZXMtMTIwMjMxMTbSAYsBaHR0cHM6Ly9uZXdzLnNreS5jb20vc3RvcnkvYW1wL2Nvcm9uYXZpcnVzLWJvcmlzLWpvaG5zb24tcmVzaXN0cy1jYWxscy10by1hcG9sb2dpc2UtZm9yLWNsYWltLWNhcmUtd29ya2Vycy1kaWRudC1mb2xsb3ctcHJvY2VkdXJlcy0xMjAyMzExNg?oc=5

2020-07-07 16:18:45Z
52780902492931

Coronavirus: Boris Johnson resists calls to apologise for claim care workers 'didn't follow procedures' - Sky News

Downing Street has resisted calls for Boris Johnson to apologise for claiming some care workers "didn't really follow the procedures" during the coronavirus outbreak.

The comments were branded "a real slap in the face" and "clumsy and cowardly" by medics and campaigners - and the prime minister is facing calls to retract them.

Number 10 has stuck by the statement, made in response to a call from the head of NHS England to adequately fund the adult social care sector within a year.

'Too many care homes didn't follow procedures'

"We discovered too many care homes didn't really follow the procedures in the way that they could have," Mr Johnson said on a visit to Goole, Yorkshire, on Monday.

A government spokesperson clarified later that day he had been pointing out "nobody knew what the correct procedures were" because the amount of people with no COVID-19 symptoms transmitting the virus was unknown.

Advertisement

Mr Johnson's spokesman, asked during a Westminster briefing on Tuesday if he would apologise, said: "The PM thinks that throughout the pandemic care homes have done a brilliant job under very difficult circumstances."

Labour's shadow health secretary Jon Ashworth claimed care workers had been left "insulted" and "hurt", called for an apology and challenged the government to explain which care homes didn't follow which procedures.

More from Covid-19

Matt Hancock, the health secretary, declined to publicly criticise the original statement.

"Throughout this crisis, care homes have done amazing work," he told the House of Commons on Tuesday.

"The prime minister was explaining, because asymptomatic-type transmission was not known, the correct procedures were therefore not known.

"We've been constantly learning about this virus from the start and improving procedures all the way through."

Image: Health Secretary Matt Hancock MP

And the business secretary stuck to the same script when he spoke to Sky News' Kay Burley@Breakfast earlier on.

Alok Sharma said he "noted" the criticism of Mr Johnson but insisted "nobody knew what the correct procedures were at the time".

But voices from outside government have been highly critical.

Nadra Ahmed, the chair of the National Care Association, told Sky News: "I'm absolutely stunned the prime minister thought it was appropriate for him to make that comment and I think he should retract that comment and apologise."

Vic Rayner, executive director of the National Care Forum, said: "Care homes across the country were dealing with an extraordinary amount of different guidance that was coming out from government on an almost daily basis.

"So for the suggestion that they were not following procedures as laid out is totally inappropriate and, frankly, hugely insulting."

Special report: The killer in our care homes

The Independent Care Group's chairman Mike Padgham said it was "upsetting" to hear Mr Johnson's comments and described them as "a real slap in the face for those workers after they have given and sacrificed so much".

"I think this - at best - was clumsy and cowardly," he continued.

"But, to be honest with you, if this is genuinely his view, I think we're almost entering a Kafkaesque alternative reality where the government set the rules; we follow them; they don't like the results; and they then deny setting the rules and blame the people that were trying to do their best.

"It is hugely frustrating."

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMihwFodHRwczovL25ld3Muc2t5LmNvbS9zdG9yeS9jb3JvbmF2aXJ1cy1ib3Jpcy1qb2huc29uLXJlc2lzdHMtY2FsbHMtdG8tYXBvbG9naXNlLWZvci1jbGFpbS1jYXJlLXdvcmtlcnMtZGlkbnQtZm9sbG93LXByb2NlZHVyZXMtMTIwMjMxMTbSAYsBaHR0cHM6Ly9uZXdzLnNreS5jb20vc3RvcnkvYW1wL2Nvcm9uYXZpcnVzLWJvcmlzLWpvaG5zb24tcmVzaXN0cy1jYWxscy10by1hcG9sb2dpc2UtZm9yLWNsYWltLWNhcmUtd29ya2Vycy1kaWRudC1mb2xsb3ctcHJvY2VkdXJlcy0xMjAyMzExNg?oc=5

2020-07-07 14:35:12Z
52780902492931

Nicola Sturgeon announces one further coronavirus death and two new cases in Scotland - Daily Record

Latest figures have revealed that one further person has died in Scotland from coronavirus - bringing the total hospital death toll to 2,489.

The number of positive cases of Covid-19 has risen to 18,302, a rise of two on yesterday’s figures.

The number of people being treated for confirmed or suspected cases of the virus in hospital stands at 699 - seven of which remain in intensive care.

Nicola Sturgeon delivered the latest figures during the Scottish Government’s daily press conference on coronavirus in Edinburgh today.

The number of cases in Scotland has risen (Image: Daily Record)

Read More

Related Articles

Read More

Related Articles

Quarantine checks on people coming to Scotland will begin from today as those  entering  will be told to isolate for two weeks.

The decision comes after it emerged no checks have taken place so far on whether people arriving in the country have been self-isolating for 14 days.

Meanwhile complaints about care homes in Scotland soared during the first three months of the deadly pandemic.

The number nearly hit 700 between March and May - up 34% on the previous year.

Coronavirus in Scotland

Figures also show that a higher proportion of complaints were made last year about privately-run homes, fuelling calls for a national care service.

Of the 4155 deaths linked to coronavirus north of the border, around 47% occurred in adult care homes.

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMiX2h0dHBzOi8vd3d3LmRhaWx5cmVjb3JkLmNvLnVrL25ld3Mvc2NvdHRpc2gtbmV3cy9uaWNvbGEtc3R1cmdlb24tYW5ub3VuY2VzLW9uZS1mdXJ0aGVyLTIyMzE0NTYz0gFjaHR0cHM6Ly93d3cuZGFpbHlyZWNvcmQuY28udWsvbmV3cy9zY290dGlzaC1uZXdzL25pY29sYS1zdHVyZ2Vvbi1hbm5vdW5jZXMtb25lLWZ1cnRoZXItMjIzMTQ1NjMuYW1w?oc=5

2020-07-07 11:40:18Z
52780898449601

Live: Rishi Sunak answers questions a day before he announces Summer Economic and stamp duty update - The Sun

[unable to retrieve full-text content]

1. Live: Rishi Sunak answers questions a day before he announces Summer Economic and stamp duty update  The Sun
2. Sunak to unveil £2bn home insulation scheme  BBC News
3. Coronavirus: Will Wednesday's mini-budget save YOUR job?  Sky News
4. The Green New Deal is the 'shovel-ready' plan Rishi Sunak needs  iNews
5. To save the arts and all else we hold dear, a wealth tax now seems the only answer  The Guardian
6. View Full coverage on Google News

https://news.google.com/__i/rss/rd/articles/CBMiK2h0dHBzOi8vd3d3LnlvdXR1YmUuY29tL3dhdGNoP3Y9dTZpZjJmMTJwZk3SAQA?oc=5

2020-07-07 10:37:08Z
52780898176939

Rishi Sunak to cut stamp duty from TOMORROW after fears delaying would stall housing market - The Sun

CHANCELLOR Rishi Sunak is set to cut stamp duty for homes up to £500k from TOMORROW after fears that delaying it will see the housing market stall for months.

The Sun revealed exclusively last weekend that a stamp duty holiday was on the cards for six months to help boost sales - and was expected from the Autumn.

⚠️ Read our coronavirus live blog for the latest news & updates

2

Rishi Sunak is expected to cut stamp duty from TOMORROWCredit: Alamy Live News

The temporary measure would remove tax on the purchase of homes to target those most in need of help following the coronavirus crisis.

But Mr Sunak has been forced to bring forward the move because of fears the housing market would freeze while buyers waited for it to come in the autumn. 

A source told The Sun last night that leaks of the plan had forced his hand and the stamp duty holiday will take effect immediately tomorrow. 

Currently home buyers don't pay any stamp duty on the first £125,000 of homes, then two per cent of the value of the home up to £250,000 and five per cent on the next £675,000.

First time buyers are already exempt from stamp duty up to £300,000 outside London and £450,000 in London.

The move will enable some homes at the lower end of the London housing market to be taken out of stamp duty but crucially would take out hundreds of thousands of properties in the crucial 'Blue Wall' seats that handed Boris Johnson his huge election win last year.

One source familiar with the proposal said: "A six-month stamp duty holiday would save people lots of money, is very Thatcherite and would please Tory backbenchers."

During the lockdown, Britons were told not to move house, completing shutting down thousand of sales.

But in mid-May restrictions were eased to kick start the economy through the housing market.

Since then, the number of house sales going through has continued to edge upwards but is still significantly lower than pre-pandemic levels.

Under the Health Protection Regulations 2020, potential buyers can now legally be shown around homes and visit estate agents in England, but they must take precautions.

Speculative viewings where neither party is serious about the sale, are "seriously discouraged".

Already property prices have started to fall due to the coronavirus disruption.

House prices slipped 0.1 per cent in June, the Halifax index reported yesterday.

Nationwide reported they had fallen overall in the last year by 0.1 per cent too.

It's the first time in eight years - not since December 2012 - that values have dropped when compared to the same period the year before.

Robert Gardner, Nationwide's chief economist, said that it was unsurprising considering the economic shock caused by the pandemic.

2

The housing market is set to stall this year over the virusCredit: Alamy

Stamp Duty Rates

STAMP Duty Land Tax is a government tax charged when you buy a property in England or Northern Ireland.

All house buyers must pay stamp duty on properties over £125,000 - although there are some exceptions.

The rate a buyer has to fork out varies depending on the price and type of property.

Property owners don't pay any stamp duty on the first £125,000 of homes.

They then pay 2 per cent between £125,001 and £250,000.It is 5 per cent between £250,001 and £925,000.

Between £925,001 and £1,500,000 it is 10 per cent.And over £1,500,001 it is 12 per cent.

FIRED UP!

Woman who attacked NHS worker in Wetherspoons brawl reveals she has been sacked

Exclusive

ENDERS EX SHOT

Gillian Taylforth's ex shot after gangsters threatened to burn down her home

TWIN TRAGEDY

World's longest-surviving conjoined twins Ronnie & Donnie Gaylon die at 68

CALM BEFORE STORM

Brits to bask in 21C sunshine before 3 days of torrential rain & gales

'GHOST HOUSE OF SUSSEX'

Mystery of abandoned £40m mansion bigger than Buckingham Palace

CORONAVIRUS CRISIS - STAY IN THE KNOW

Don't miss the latest news and figures - and essential advice for you and your family.

Business Secretary Alok Sharma explains how energy bill voucher scheme will work as part of Rishi Sunak's £3bn package

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMiP2h0dHBzOi8vd3d3LnRoZXN1bi5jby51ay9uZXdzLzEyMDUxMjA5L3N0YW1wLWR1dHktY3V0LXRvbW9ycm93L9IBQ2h0dHBzOi8vd3d3LnRoZXN1bi5jby51ay9uZXdzLzEyMDUxMjA5L3N0YW1wLWR1dHktY3V0LXRvbW9ycm93L2FtcC8?oc=5

2020-07-07 10:15:09Z
52780898176939

Rishi Sunak 'will implement a stamp duty cut immediately' - Daily Mail

Rishi Sunak 'will implement a stamp duty cut immediately' after furious warnings that the housing market would grind to a halt if he delayed to the Autumn

• Rishi Sunak is considering a six-month stamp-duty 'holiday' on most homes 
• Economists warn delaying the change could put housing market in deep freeze
• Treasury sources made clear there will be no delay to any move on stamp duty
• Former chancellor Philip Hammond said move will shift demand, not increase it 

By James Tapsfield, Political Editor For Mailonline and Jack Maidment, Deputy Political Editor For Mailonline

Published: 08:19 BST, 7 July 2020 | Updated: 10:15 BST, 7 July 2020

Rishi Sunak will not delay a stamp duty cut slated for his mini-Budget tomorrow after warnings that the housing market would be wrecked for months.

The Chancellor's crucial coronavirus recovery package is expected to include a six-month 'holiday' from the charge on most homes to kick-start the market.

However, economists voiced alarm at the idea that the move could be announced to the Commons, but not implemented until the Autumn. 

Fears were raised that purchases would grind to a halt as people would simply wait in order save thousands of pounds. 

Sources told MailOnline that there would not be any delay in the implementation of a stamp duty cut. 

Rishi Sunak, pictured during a visit to Shakespeare's Globe theatre yesterday, is considering a six-month stamp-duty 'holiday' on most homes to kick start Britain's dormant market

Economists and property experts have warned that delaying stamp duty changes could put the housing market into the deep freeze (File photo)

What are the current rules on stamp duty?

Stamp duty must be paid when people buy residential property over a certain price. 

The current property value threshold at which stamp duty must start to be paid is £125,000. 

But there are different rules for first time buyers if the property is worth less than £500,000. 

The amount of stamp duty paid gradually increases based on the value of the property. 

So no stamp duty is owed on the first £125,000 of a property's value. 

Stamp duty worth two per cent is paid on the next £125,000, then five per cent is owed on the next £675,000. 

For more expensive properties, stamp duty at 10 per cent is charged on the following £575,000 and anything above a property value ceiling of £1.5 million is charged at 12 per cent. 

So if someone bought a house at a price of £275,000 they would pay zero per cent on the first £125,000, two per cent on the next £125,000 (worth £2,500) and five per cent on the final £25,000 (worth £1,250), giving a final stamp duty bill of £3,750. 

First time buyers can currently claim a discount so they do not have to pay any tax on property's worth up to £300,000 and five per cent on the portion from £300,001 to £500,000.

Advertisement

Treasury officials have been looking at a temporary six-month increase in the stamp duty threshold from the current level of £125,000 to an amount between £300,000 and £500,000 to stimulate demand.

But economists and property experts warned that a delay until Autumn, as had originally been mooted, could put the housing market into the deep freeze.

Paul Johnson, of the Institute for Fiscal Studies, said any uncertainty about a potential change would distort the housing market by encouraging people to delay their decisions.

He said Mr Sunak must choose to either launch the duty holiday tomorrow - or decisively rule it out.

'To do otherwise could ruin the housing market for months to come,' said Mr Johnson. 

His comments were echoed by buying agent Henry Pryor, who said: 'Either announce that you are changing stamp duty or announce that you are not.'

Economist Julian Jessop urged the Treasury to 'stop flying kites' over potential cuts in both stamp duty and VAT.

He said: 'The announcement of a stamp duty holiday, but not until the autumn, could kill the housing market in the meantime. 

'There has been similar speculation of an across-the-board VAT cut, which could delay spending on other big ticket items too.'

Philip Hammond, the former Tory chancellor, said cutting stamp duty could help to bring forward demand for housing. 

But he said that 'history tells us' such a move would simply shift demand in the short term rather than actually increase it. 

He told BBC Radio 4's Today programme: 'Cutting stamp duty, reducing VAT in particular sectors, are certainly ways to bring forward or manage demand. 

'But I think the Treasury officials who will have been working up all sorts of proposals for him during the lockdown will be telling him that the history tells us that cutting VAT or cutting stamp duty can bring forward demand but it doesn't overall increase the level of demand, it simply shifts the pattern of it.' 

Mr Hammond said cutting stamp duty was undoubtedly 'one tool in his tool box' which Mr Sunak could choose to use tomorrow. 

He said: 'Clearly, if people are told that a stamp duty holiday is coming in the autumn people will not complete house purchases ahead of the autumn if they can possibly avoid it. 

'That doesn't mean to say that sales activity won't pick up but people will want to time their completions beyond an autumn budget if that is what the Chancellor is signalling. 

'It is one tool in his tool box. He has many tools available to him. If he is clear eyed about what he is doing he would be pulling forward and to some extent pushing back from now into the autumn and pulling forward from next spring demand that would otherwise would have happened then. 

'If that is what he wants to do then a temporary cut in stamp duty could be one of the tools that would help to do that.' 

Mr Hammond's comments came as an index showed house prices have been falling for four months in a row - the first time this has happened since 2010.

Halifax said that property values in June were 0.1 per cent lower than they were in May. 

The decline in June followed month-on-month price falls of 0.2 per cent in May, 0.6 per cent in April and 0.3 per cent in March.

However, despite four months of prices edging downwards, house prices were actually higher in June when compared with a year ago. 

Across the UK, property values in June were 2.5 per cent higher than in the same month a year earlier. The average house price in June was £237,616.

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMiZmh0dHBzOi8vd3d3LmRhaWx5bWFpbC5jby51ay9uZXdzL2FydGljbGUtODQ5NzE5NS9SaXNoaS1TdW5hay1pbXBsZW1lbnQtc3RhbXAtZHV0eS1jdXQtaW1tZWRpYXRlbHkuaHRtbNIBamh0dHBzOi8vd3d3LmRhaWx5bWFpbC5jby51ay9uZXdzL2FydGljbGUtODQ5NzE5NS9hbXAvUmlzaGktU3VuYWstaW1wbGVtZW50LXN0YW1wLWR1dHktY3V0LWltbWVkaWF0ZWx5Lmh0bWw?oc=5

2020-07-07 09:39:09Z
52780898176939

Rishi Sunak 'will implement a stamp duty cut immediately' - Daily Mail

Rishi Sunak 'will implement a stamp duty cut immediately' after furious warnings that the housing market would grind to a halt if he delayed to the Autumn

• Rishi Sunak is considering a six-month stamp-duty 'holiday' on most homes 
• Economists warn delaying the change could put housing market in deep freeze
• Treasury sources made clear there will be no delay to any move on stamp duty
• Former chancellor Philip Hammond said move will shift demand, not increase it 

By James Tapsfield, Political Editor For Mailonline and Jack Maidment, Deputy Political Editor For Mailonline

Published: 08:19 BST, 7 July 2020 | Updated: 10:15 BST, 7 July 2020

Rishi Sunak will not delay a stamp duty cut slated for his mini-Budget tomorrow after warnings that the housing market would be wrecked for months.

The Chancellor's crucial coronavirus recovery package is expected to include a six-month 'holiday' from the charge on most homes to kick-start the market.

However, economists voiced alarm at the idea that the move could be announced to the Commons, but not implemented until the Autumn. 

Fears were raised that purchases would grind to a halt as people would simply wait in order save thousands of pounds. 

Sources told MailOnline that there would not be any delay in the implementation of a stamp duty cut. 

Rishi Sunak, pictured during a visit to Shakespeare's Globe theatre yesterday, is considering a six-month stamp-duty 'holiday' on most homes to kick start Britain's dormant market

Economists and property experts have warned that delaying stamp duty changes could put the housing market into the deep freeze (File photo)

What are the current rules on stamp duty?

Stamp duty must be paid when people buy residential property over a certain price. 

The current property value threshold at which stamp duty must start to be paid is £125,000. 

But there are different rules for first time buyers if the property is worth less than £500,000. 

The amount of stamp duty paid gradually increases based on the value of the property. 

So no stamp duty is owed on the first £125,000 of a property's value. 

Stamp duty worth two per cent is paid on the next £125,000, then five per cent is owed on the next £675,000. 

For more expensive properties, stamp duty at 10 per cent is charged on the following £575,000 and anything above a property value ceiling of £1.5 million is charged at 12 per cent. 

So if someone bought a house at a price of £275,000 they would pay zero per cent on the first £125,000, two per cent on the next £125,000 (worth £2,500) and five per cent on the final £25,000 (worth £1,250), giving a final stamp duty bill of £3,750. 

First time buyers can currently claim a discount so they do not have to pay any tax on property's worth up to £300,000 and five per cent on the portion from £300,001 to £500,000.

Advertisement

Treasury officials have been looking at a temporary six-month increase in the stamp duty threshold from the current level of £125,000 to an amount between £300,000 and £500,000 to stimulate demand.

But economists and property experts warned that a delay until Autumn, as had originally been mooted, could put the housing market into the deep freeze.

Paul Johnson, of the Institute for Fiscal Studies, said any uncertainty about a potential change would distort the housing market by encouraging people to delay their decisions.

He said Mr Sunak must choose to either launch the duty holiday tomorrow - or decisively rule it out.

'To do otherwise could ruin the housing market for months to come,' said Mr Johnson. 

His comments were echoed by buying agent Henry Pryor, who said: 'Either announce that you are changing stamp duty or announce that you are not.'

Economist Julian Jessop urged the Treasury to 'stop flying kites' over potential cuts in both stamp duty and VAT.

He said: 'The announcement of a stamp duty holiday, but not until the autumn, could kill the housing market in the meantime. 

'There has been similar speculation of an across-the-board VAT cut, which could delay spending on other big ticket items too.'

Philip Hammond, the former Tory chancellor, said cutting stamp duty could help to bring forward demand for housing. 

But he said that 'history tells us' such a move would simply shift demand in the short term rather than actually increase it. 

He told BBC Radio 4's Today programme: 'Cutting stamp duty, reducing VAT in particular sectors, are certainly ways to bring forward or manage demand. 

'But I think the Treasury officials who will have been working up all sorts of proposals for him during the lockdown will be telling him that the history tells us that cutting VAT or cutting stamp duty can bring forward demand but it doesn't overall increase the level of demand, it simply shifts the pattern of it.' 

Mr Hammond said cutting stamp duty was undoubtedly 'one tool in his tool box' which Mr Sunak could choose to use tomorrow. 

He said: 'Clearly, if people are told that a stamp duty holiday is coming in the autumn people will not complete house purchases ahead of the autumn if they can possibly avoid it. 

'That doesn't mean to say that sales activity won't pick up but people will want to time their completions beyond an autumn budget if that is what the Chancellor is signalling. 

'It is one tool in his tool box. He has many tools available to him. If he is clear eyed about what he is doing he would be pulling forward and to some extent pushing back from now into the autumn and pulling forward from next spring demand that would otherwise would have happened then. 

'If that is what he wants to do then a temporary cut in stamp duty could be one of the tools that would help to do that.' 

Mr Hammond's comments came as an index showed house prices have been falling for four months in a row - the first time this has happened since 2010.

Halifax said that property values in June were 0.1 per cent lower than they were in May. 

The decline in June followed month-on-month price falls of 0.2 per cent in May, 0.6 per cent in April and 0.3 per cent in March.

However, despite four months of prices edging downwards, house prices were actually higher in June when compared with a year ago. 

Across the UK, property values in June were 2.5 per cent higher than in the same month a year earlier. The average house price in June was £237,616.

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMiZmh0dHBzOi8vd3d3LmRhaWx5bWFpbC5jby51ay9uZXdzL2FydGljbGUtODQ5NzE5NS9SaXNoaS1TdW5hay1pbXBsZW1lbnQtc3RhbXAtZHV0eS1jdXQtaW1tZWRpYXRlbHkuaHRtbNIBamh0dHBzOi8vd3d3LmRhaWx5bWFpbC5jby51ay9uZXdzL2FydGljbGUtODQ5NzE5NS9hbXAvUmlzaGktU3VuYWstaW1wbGVtZW50LXN0YW1wLWR1dHktY3V0LWltbWVkaWF0ZWx5Lmh0bWw?oc=5

2020-07-07 09:14:14Z
52780898176939