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Labour's Mansion Tax: Leaseholders Face 2028 Charges

1/27/2026

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Story summary
  • Labour's proposed mansion tax would begin in 2028 and affect leasehold homeowners in England and Wales.
  • The Valuation Office Agency (VOA) will value properties using a 99-year lease assumption, ignoring actual leases.
  • For homes under £2 million, this could inflate valuations and trigger annual charges of £2,500 or more.
  • Conservative MP James Cleverly and campaigners say the policy unfairly penalises leaseholders, especially in London.