General · 13 January 2026
UK introduces mansion tax on homes over £2 million
Chancellor Rachel Reeves announced a new High Value Council Tax Surcharge for English homes worth over £2 million. The mansion tax will take effect in April 2028 with property valuations conducted in 2026. Four annual bands range from £2,500 for properties worth £2-2.5 million to £7,500 for homes over £5 million. Money goes directly to Treasury rather than local councils. Around 145,000-200,000 properties affected, mainly in London and South East. The tax is expected to raise £400 million annually by 2029-30.
Reported by Bloomberg · How we write briefs