Budget Analysis November 2025
The Autumn budget has been delivered, and the analysis has begun. For property and housing, the key takeaways are :-
In England, no change to Stamp Duty Land Tax.
In England from April 2028, a high value council tax surcharge or “mansion tax” is being introduced. Levied through council tax, this will an annual recurring charge applied to properties worth in excess of £2M. Properties over £2M will be placed in bands based on their property value and this added charge will increase yearly in line with the CPI. The introduction of this tax is being delayed allowing time for properties in council tax bands F + to be re-valued.
From April 2027, an increase of 2% in the basic rate of income tax on rental income for individual landlords. Those landlords operating as limited companies are unaffected.
Given the months of uncertainty and paralysis in the housing market caused by an extensive period of discussion and news leaks running up to the budget, whilst new property taxes are never welcome, this news will come as some relief to those who had delayed making decisions before understanding the full impact on their finances.
We are mindful that this new mansion tax may stagnate or alter the pricing of larger homes in London and the south east which could be to the detriment of some house sales in our region, and of course it remains to be seen whether the Welsh Government considers introducing a similar scheme here in Wales.
We will continue monitoring developments and will keep all our clients updated on our marketing strategies which are tailored to suit the housing market in which we operate. It is to be hoped that the market response to this budget is relief and normal market conditions resume.
Contact our expert team today for more information and advice on your property investments, sale or purchase and we’ll be ready to answer your queries:
- 01873 564424
- https://www.taylorandcoproperty.co.uk/contact-us/
- abergavenny@taylorandcoproperty.co.uk
