Press response to the Autumn Statement
Thu 05 Dec 2013
Peter Rollings, CEO of estate agent Marsh & Parsons, comments: "The enhanced Capital Gains Tax for overseas property owners smacks of political point-scoring but is unlikely to generate much for the Government in terms of revenue. However, it poses a real risk of cutting inward investment to the UK, and could seriously affect the image of the UK as being open for international business. UK buyers already pay the highest property taxes in the developed world, and this policy will create further uncertainty by adding to the ever-increasing tax burden that overseas buyers experience in London.
"However, if the introduction of this tax quells demand for a more draconian mansion tax, it could actually boost the market. And with the change only being introduced in April 2015, we may find a short-term rush for tax-free sales before the policy comes into effect, helping to boost supply and fluidity at the highest level. London is still a much more attractive and easier place to buy property than many other cities around the world, and demand for the best properties will remain fierce."