(SDLTM27500 will be updated at the appropriate time).
The following Q&A covers the commonly asked questions about this measure, which is at Clause 80 of the Finance Bill. More information is in Budget Note 44.
What are Registered Providers of Social Housing?
Under provisions of the Housing and Regeneration Act 2008, Registered Providers
of Social Housing will replace Registered Social Landlords in England (not
Wales) with effect from a date to be announced.
Existing Residential Social Landlords are mainly Housing Associations and are 'not for profit' organisations. These will continue as non-profit Registered Providers, but profit-making Registered Providers will also be permitted. These will be subject to the same standards and address the same housing priorities as non-profit Registered Providers.
What is the effect of the measure?
Profit-making registered providers will be able to claim the Stamp Duty Land
Tax relief for acquisitions by Registered Social Landlords (section 71 Finance
Act 2003) where the acquisition is assisted by public subsidy.
Those who are granted a shared ownership lease by, or participate in a shared ownership trust with, a profit-making Registered Provider can benefit from the special Stamp Duty Land Tax shared ownership rules (Schedule 9 Finance Act 2003) where the property is constructed, adapted or purchased by the Registered Provider with the aid of public subsidy.
What is meant by 'public subsidy'?
Financial assistance given by the Homes and Communities Agency under section
19 Housing and Regeneration Act 2008.
When will the measure take effect?
The measure will come into force when the Finance Bill receives the Royal
Assent in July. But it will have no practical effect until the provisions
of the Housing and Regeneration Act 2008 dealing with Registered Providers
of Social Housing come into force. This is a matter for the Department for
Communities and Local Government (DCLG).
