Thank you, Llywydd. As this is the first time the LTT rates have been changed mid year, and given the implications for the Welsh Government’s budget and spending plans, the Finance Committee was eager to take evidence directly from the Minister, and we did so on 14 September. We were grateful to the Minister for attending at that time, and we heard that given the proximity of the Wales-England border, the temporary changes to SDLT meant that, inevitably, action would be taken in Wales. The committee notes that the change will support people looking to purchase first homes or those seeking to move up the property ladder.

However, unlike stamp duty in England, the change to the LTT tax exemption threshold in Wales will not apply to the purchase of additional properties such as buy-to-lets and second homes. This is something the Finance Committee may want to consider further during the next budget round, or as part of our inquiry into the implementation of the Wales Act 2014 and the operation of the fiscal framework that is currently being undertaken.

The medium-term outlook for the housing market is uncertain both in terms of house prices and the volume of sales. Much will depend on the performance of the wider economy, which will, in turn, be determined by how the pandemic and restrictions on activity evolve. Nevertheless, the committee was broadly content with the evidence provided by the Minister, and therefore we have no issues to report. Thank you.