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Homes worth £1.5m are expected to avoid Healey's mansion tax as Budget planning continues

From the Newshound archive · first published 16 October 2026.

Homes worth £1.5m are expected to avoid Healey's mansion tax as Budget planning continues

Chancellor John Healey is expected to spare homes worth £1.5m from a new mansion tax, despite earlier speculation he was considering cutting the threshold to catch lower-value properties. The Budget is due on October 28, with Healey under pressure to raise billions without breaking key tax pledges.

Healey is also reportedly mulling a £1bn business rates hike targeting London offices worth more than £500,000 in rateable value.

Canary Wharf and the Square Mile would bear the brunt, with industry leaders warning the move is 'an attack on growth policy'.

Real Estate:UK chief executive Vanessa Hale warned the government 'cannot tax its way to delivering good growth in every postcode.'

MoreEvening StandardMansion tax: what it means for Londoners and how it will work as John Healey prepares to deliver BudgetProperty WeekChancellor mulls raising £1bn from tax increase on London offices - Property WeekThe Independent£1.5m homes ‘to avoid new mansion tax’
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