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Sunday, May 10, 2015


David Cameron’s better-than-predicted success in the polls will generally be seen as good news for owners of London property, as it will remove many of the uncertainties that have affected the property market over the past few months.

 

Story sourced from chestertons.com


A Conservative Government will mean:

  • No Mansion Tax
  • No rent controls or mandatory landlord registration scheme
  • No further changes to Council Tax or Stamp Duty
  • No crack-down on Non-Dom status
  • Raising of the Inheritance Tax threshold to £1m
  • Extension of the Help to Buy Equity Loan and Mortgage Guarantee schemes
  • Introduction of a new Help to Buy ISA

For landlords, the following reforms may apply:

  • Allow tenant subletting
  • Extend right-to-rent checks nationally
  • New rules to prevent revenge evictions
  • Continue to limit councils’ power to license local landlords

So what do these changes mean for the London property market?

  • Buyers and sellers of properties around and above the £2 million mark will be relieved that there will be no Mansion Tax, and this end of the market is expected to see increased activity almost immediately.

  • Mortgage markets will likely benefit as interest rates are set to remain low for some time.

  • Households with concerns about Inheritance Tax should welcome the Tories’ promise to raise the single person allowance from £325,000 to £500,000 and the married couple/civil partner allowance from £650,000 to £1m.

  • First-time buyers will benefit as Help-to-Buy should be extended and a new Help-to-Buy ISA introduced.

 

The unexpectedly swift and decisive outcome of this election has done much to lift the clouds of uncertainty and unpredictability that have dogged the property market across the first quarter of 2015. While there will still be regulatory changes to consider and challenges to be identified and overcome, they will be a lot more manageable and less far-reaching than they could have been.

 

Text sourced from chestertons.com


posted by FairHomeTax Team  10.05.15 11:56



Friday, May 8, 2015


Between January and April 2015, supporters of the FairHomeTax Campaign were asked to take part in a survey of the options available to a future new Government using family home taxation approaches that they believe would be the most effective method in raising tax revenue for the NHS and public services. Questions in the survey were based around the recent independent evidence from the CEBR’s 3 economic reports commissioned by FairHomeTax. The survey questions answered by 8,206 home owners from across the UK can be seen at http://www.fairhometax.uk/poll2015.html

 

Question 1. Which of these family home taxation approaches are the fairest way to raise extra revenue for the NHS and public services? Please select your top 3 choices. Initial analysis of the findings shows that Mansion Tax is the least favoured effective choice. The best taxation approach being to add 3 new council tax bands to the highest valued properties. Even outside of the south east Labour’s Mansion Tax was not the most favoured option with choosing to allow councils to charge a 100% council tax premium on properties that have been vacant for longer than 6 months as their preferred option.


1st Choice %

Total

London

SE England

Rest of Eng

Scotland

Wales

Add 3 new top rate tax bands to council tax to raise £4.7bn. A tax that’s not been reviewed for 25 years

28.94%

36.03%

38.45%

20.16%

16.26%

18.44%

Allow councils to charge a 100% council tax premium on properties that have been vacant for longer than 6 months to raise £322 million

24.43%

23.99%

22.35%

25.31%

25.58%

27.98%

Charge foreign buyers a higher rate of stamp duty to raise £491 million

21.72%

29.77%

22.63%

21.72%

13.71%

6.10%

Align landlord repair & maintenance tax relief closer to actual and cost-effective repair expenditure to save £285 million

10.49%

8.41%

9.47%

13.76%

13.25%

8.89%

Introduce annual taxation on homes valued over £2m to raise £800m to 1.2bn (Labour's Mansion Tax)

6.69%

0.52%

1.28%

7.31%

17.80%

22.02%

Existing Council Tax bands to remain unchanged

5.85%

0.48%

3.17%

10.24%

11.02%

13.40%

Don't know

1.10%

0.28%

1.28%

1.04%

2.23%

1.46%

None of these

0.78%

0.52%

1.37%

0.46%

0.15%

1.72%

TOTAL

100%

100%

100%

100%

100%

100%

 

Question 10. What do 8,206 home owners from across the UK feel about Labour’s Mansion Tax? It’s clear that UK home owners supporting FairHomeTax do not want a Mansion tax for listed reasons.


Which of these statements do you agree with (Can choose more than 1)

Respondents agreeing

Pensioners will be hardest hit by Mansion Tax

82.9%

A new Government should debate fairer home taxation approaches

81.1%

Mansion Tax will hit Inheritance Tax in an unfair way

78.3%

Income poor home owners will be hit by a Mansion Tax

76.5%

Introducing a Mansion Tax is the Politics of Envy not economic sense

74.3%

All Political Parties are ignoring a fairer established solution of adding new council tax bands to higher value properties

72.7%

Labour is not taxing the very wealthy through a Mansion Tax

72.1%

Mansion Tax will not raise £1.2bn

63.6%

Cash rich people can avoid paying Mansion Tax

61.3%

Mansion Tax is not workable

59.2%

The NHS needs reform not more money

41.9%

A Mansion Tax IS A FAIR way to raise money for the NHS

3.6%

 

Question 11. What do you feel to adding more Council Tax Bands on higher value properties instead of a Mansion Tax? Council tax changes at the highest valued property levels are thought to be fairer and workable.


Choice

Respondents

It’s a fairer more workable solution

71.4%

It’s unfair to more home owners

16.9%

Don't know

8.3%

A Mansion Tax is a better way

3.4%

 

Question 12. In your opinion which Political Party(s) are best for the Family Home Owner? (Can choose more than 1). Tories are thought to be the best party for home owners’ interests


Political Party

Respondents

Conservatives

38.1%

None of them

31.8%

UKIP

23.1%

Don’t Know

18.9%

Labour

17.1%

Others

14.8%

Greens

9.2%

Liberal Democrats

9.1%

SNP

8.6%



posted by FairHomeTax Team  08.05.15 12:54



Saturday, May 2, 2015


Responses to direct questions about the Mansion Tax to General Election Candidates have been mixed. None more so than from Labour Candidates themselves. All agree more money needs to be spent on the NHS but the way the Labour Leadership are hanging their whole spending programme on a Mansion Tax is not entirely supported at grass roots level. There are divisions that are beginning to show at the very top. See for example this recent article in the Daily Mail.
 



posted by FairHomeTax Team  02.05.15 10:08



Saturday, May 2, 2015




posted by FairHomeTax Team  02.05.15 09:45



Thursday, April 23, 2015




posted by FairHomeTax Team  23.04.15 10:05



Monday, March 30, 2015


Extra council tax band more popular than mansion tax, poll finds

People would rather the government introduce a higher rate council tax band on the most expensive homes than a mansion tax, a survey by the HomeOwners Alliance has found.

This supports FairHomeTax's independent evidence from the CEBR that clearly showed that adding 3 bands to existing council tax valuations will generate more than Labour's punitive Mansion Tax. Full details can be seen at http://www.fairhometax.uk/FairCouncilTax_CEBR.html  

The HomeOwners Alliance survey, which gathered popular opinion on the parties’ housing policy pledges, polled over 2,000 adults and found that seven in ten (70%) supported an additional top band of council tax on homes over £2m – proposed by the Liberal Democrats – compared to just one third who support a mansion tax – proposed by Labour.  

The survey also found that an increase to the inheritance tax threshold was more popular than a mansion tax, with 58% supporting it.

Paula Higgins, one of the co-founders of the HomeOwners Alliance, said homeowners were pragmatic about increasing taxes on higher value properties.

‘Homeowners are generally keen to be able to pass on their family homes to their children, which is why there is support for an increase in the inheritance tax threshold,’ Higgins said.

But with an acute shortage of housing, the priority for the public was to ensure that those who wanted to own the roof over their head were not at disadvantaged by foreign buyers and those who have second homes, Higgins said.

A policy put forward for Londoners by Major Boris Johnson to make developers market homes in the UK before marketing them overseas received support from 80% of the respondents.

To see the full article and poll results go to: http://www.publicfinance.co.uk/news/2015/03/extra-council-tax-band-more-popular-than-mansion-tax-poll-finds/


posted by FairHomeTax Team  30.03.15 17:02



Monday, February 16, 2015


 
At FairHomeTax we commissioned three major CEBR Economic reviews. The second clearly shows that a review of Council Tax is long overdue and by adding new bands onto the more expensive properties, this would indeed generate a more effective, fairer and progressive tax raising process that would be better than Mansion Tax. http://www.fairhometax.uk/FairCouncilTax_CEBR.html 
 
The esteemed journalist Simon Jenkins for the left of centre newspaper the Guardian seems to agree.  here's an extract from his article today: "A gap then emerged between advocates of Cable’s mansion tax, which would go to the Treasury, and those who wanted to reform council tax, which goes to local councils. The clearest need was to reform the top band, which had been fixed in 1991 at £320,000 (roughly £1m with house-price inflation today). When a higher band was introduced in Wales in 2005, starting at £424,000, it caused little fuss." 
 
To read the whole article click here


posted by FairHomeTax Team  16.02.15 15:34





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For more details email contact@fairhometax.uk Tel: 07515421611   -  FairHomeTax, 1 Rammell Mews, Cranbrook, Kent TN17 3BQ

The Campaign for Fairer Tax on UK Homes is run by Howard Cox, the founder of the FairFuelUK Campaign.  Howard Cox is a staunch campaigner for stimulating the economy, motivating consumers and fighting unfair taxation. FairFuelUK, is the Nationally Recognised Award Winning Campaign fighting for lower petrol & diesel prices and is widely accredited with stopping £30 billion of road user taxes being levied on businesses & public in this Parliament. Without FairFuelUK prices at the pumps would be over £1.60 per litre. Its time for all Parties to recognise that the family home is not the tax cash cow for their spending aspirations. A property taxation reform is long overdue.