Effect of the Land Transaction Tax Rate

Part of 1. Questions to the Cabinet Secretary for Finance – in the Senedd at 2:08 pm on 10 October 2018.

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Photo of Mark Reckless Mark Reckless Conservative 2:08, 10 October 2018

Yes, well, the Cabinet Secretary is no doubt aware that the land transaction tax base is commercial property transactions, and, according to the CoStar review of commercial property investment for the second quarter, which, I understand, surveys all commercial transactions above that size and many more across the UK, the total amount of commercial property investment in Wales in the second quarter was just £40 million. That is a 78 per cent decline compared to the five-year average. Is it not the case that, as night follows day, that collapse in commercial property transactions is going to lead to a collapse in commercial tax revenues on the LTT thanks to your 6 per cent supertax?