Savills: UK House Prices to Rise 24.5% by 2029 as Market Outlook Improves

Stamp duty reform is back in focus — and this time, experts believe the key to unlocking housing supply may lie with older homeowners. New analysis from Savills and WPI Economics estimates that more than half a million properties could be released into the market if downsizers were offered tailored tax relief.

In a landscape where supply continues to lag behind demand, incentivising older households to move could ease gridlock in the property chain — benefiting buyers across generations. Here’s why the idea is gaining traction in 2025.

More than 2 million older homeowners in the UK live in homes that may no longer meet their needs — but many hesitate to move due to stamp duty costs. According to the Savills/WPI study, offering targeted relief to those aged 65+ could release 562,000 homes in just one year.

With the average downsizer expected to move to a smaller, less expensive property, the tax burden often feels disproportionate. Reforming this system could give these households more freedom — while helping younger buyers gain access to family-sized homes currently under-occupied.

As pressure mounts on the UK government to stimulate housing supply, many experts are pointing to stamp duty reform as a win-win. The proposed policy would apply only to homeowners over 65 who move into smaller properties — targeting those most likely to benefit and act.

Downsizing helps reduce housing under-occupation, which is a growing issue in Britain’s ageing population. At the same time, it can increase mobility across the housing ladder, reduce demand at the bottom end, and cut waiting times for first-time buyers.