The Newshound

Healey's Budget plan to raid London offices for £1bn is branded an 'attack on growth' by property firms

From the Newshound archive · first published 16 October 2026.

The City of London's financial district, where around 9,000 properties could face a £1bn business-rates surcharge on high-value offices under plans Chancellor John Healey is expected to announce at his October 28 Budget.
The City of London's financial district, where around 9,000 properties could face a £1bn business-rates surcharge on high-value offices under plans Chancellor John Healey is expected to announce at his October 28 Budget.

Chancellor John Healey is weighing up a £1bn tax increase on London's most expensive office blocks and skyscrapers ahead of his first Budget on October 28. Property firms warn the move would disproportionately hammer the capital's business district and deal a serious blow to the City's growth prospects.

The plan centres on hiking business rates for high-value London offices and towers to plug a Treasury gap.

Industry figures say the raid would hit London harder than anywhere else in the country, threatening investment.

A separate mansion tax proposal is also being examined by Healey ahead of the same Budget, piling further pressure on the capital.

MoreEvening StandardMansion tax: what it means for Londoners and how it will work as John Healey prepares to deliver BudgetCity A.M.Healey’s £1bn London office raid would be ‘attack on growth’Property WeekChancellor mulls raising £1bn from tax increase on London offices - Property Week
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