Both sets of regulations, Dirprwy Lywydd, are essentially technical in nature in this group. Firstly, the land transaction tax transitional provisions regulations, and these are made under section 78(1) of the Act, ensure that land transactions that take place on or after 1 April this year receive the required treatment during the transition from stamp duty land tax to land transaction tax. This will ensure transactions are not taxed twice under LTT and SDLT, or that they are not taxed at all. The regulations will ensure no taxpayer is unfairly disadvantaged or advantaged by the switch, and are likely to apply in only a small number of cases. Regulations 3 and 4 deal with the circumstances where a contract was entered into under SDLT, but not completed by April 2018. Regulations 5 and 6 provide that alternative financial arrangements available under SDLT can continue under land transaction tax. Regulations 7 and 8 deal with partnership arrangements under each regime. Regulations 9 to 11 provide transitional rules for leases. Regulation 12 introduces transitional rules in relation to second homes higher rates, to ensure that the same period to complete the purchase of a replacement main home will be available under LTT as is currently available under SDLT. This means, then, Dirprwy Lywydd, that in the transition from the current regime to the one that will apply after April of this year, there is fairness for taxpayers.

The second set of regulations in this group are made under section 24 of the Act and relate to higher rates residential property transactions. The regulations seek to ensure that the higher rate rules are applied consistently to married couples and civil partnerships. These rules currently exempt people from the higher rate when acquiring additional interest, such as a lease extension, in their current main residence. The regulations before the Assembly this afternoon extend the scope of this exception for acquisitions of interests in the same main residence. This means that where the acquisition is made by a spouse or civil partner who does not own an interest in the main residence—for example in the case of a re-mortgage—the higher rates do not apply. The change will ensure the higher rates rules are applied consistently, that is to say that married couples or civil partners are treated as owning what their spouse owns. Dirprwy Lywydd, both sets of regulations under this agenda item are essentially technical in nature, both are designed to ensure greater fairness in the operation of the system, and I hope that Members will support them today.