Clegg’s Tax Warning for Foreign Property Investors
According to Nick Clegg, foreign investors who buy luxury London properties could face new taxes. The warning came with the approach of the Autumn Statement.
According to Clegg, plans are currently under consideration by the government to introduce new taxes that would affect these investors. Specifically, the government are considering the introduction of new council tax bands and subjecting sales of second homes to Capital Gains Tax of 28%.
In relation to these plans, Clegg expressed concern that “parts of the London property market now which are entirely divorced from and dislocated from the rest of the economy – certainly London’s economy and even more from the rest of the nation’s economy.”
Clegg also criticised the government’s failure to introduce a “Mansion Tax,” suggesting that it was down to “downright prejudice on the part of my Conservative colleagues.”