There has been a noticeable uplift in the number of second home-owners and long-term investors in Central London putting their properties on the market with a view to selling before the end of March, according to property consultants Cluttons.
This is due to speculative fears that the Government will be making changes to Capital Gains Tax in this year’s Budget.
The current flat rate of 18% was introduced in 2008, replacing the variable rate linked to income tax rates and taper relief. However, the tax was not mentioned in the April 2009 Budget or in December’s pre-Budget report, despite the fact that changes were announced on most other taxes. There is speculation that as a result an alteration in the tax is likely to be announced on March 16.