Overview
- This week Andy Burnham said he would not rule out wealth or land taxes while repeating Labour’s manifesto pledge not to raise income tax, VAT, or National Insurance.
- Tax Policy Associates modelled an illustrative land value tax at about 1.28% that could replace council tax and stamp duty but found 69% of households might gain while many London and South East owners face much higher annual bills.
- The APPG on local government has urged new higher council‑tax bands for the most valuable homes and the government already plans a 'mansion tax' from April 2028 that could be shifted to a lower threshold.
- Experts warn an LVT would create major short‑term shocks, pose valuation and administrative challenges, and carry strong political risks, while business groups are calling for prompt, costed fiscal clarity.
- Mr Burnham is expected to appoint a chancellor on taking office and to crystallise tax choices around his autumn Budget, with potential direct impacts on homeowners, regional house prices, and local government funding.