Mansion tax

The Governement has officially changed their approach to property taxation. What impact will it have on Prime Central London? In short, the Government is saying if you buy expensive residential properties (£2m+) as individuals rather than a company you will pay 7% rather than 15% Stamp duty and avoid a future annual charge. We do not think that this tax will impact individuals as they will still purchase properties despite a 7% stamp duty, but it might have an impact on those “non-natural persons”, hopefully reestablishing some fairness in the market and bringing the prices back to reality.