Rural Britain fears impact of mansion tax

"Many people living and working in the countryside will live in larger homes than their urban counterparts but this does not reflect the daily struggle many country people have with low wages and a high cost of living.

"Farmhouses, for instance, may typically be larger than the average urban property but they’re often not just a home but a fundamental part of a working farm or agricultural business as well. In many cases, these old country homes have significant historical value and high maintenance costs.

"If George Osborne chooses to introduce a ‘Mansion Tax’ on properties in this month’s Budget, he needs to give the rural community some specific consideration and this could create fairly complex legislation.

"We’ve already seen how the lack of detail around proposed changes to Child Benefit in the 2010 Autumn Statement spread unease among many parents. Any announcement on a ‘Mansion Tax’ without the necessary detail may cause confusion and disrupt some of the UK’s most productive farms and small businesses.

"We welcome the recommendations from the Office of Tax Simplification to make life easier for small businesses. Simplifying some of the complex tax legislation will help farms and other rural businesses to get the rural economy going again.

"It’s likely that any changes to taxation announced in the Budget will affect some people more than others. People should take advice before and after the Chancellor’s Budget on 21 March to help reduce their effective rate of tax."

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