Finance squeeze for high-end properties

A tax increase for people living in more expensive properties could be a discussion topic for property conferences this week.

The Financial Times reported that deputy prime minister Nick Clegg revealed plans to penalise people living in high-end properties with a tax, in order to fulfil the government aim of scrapping the 50p tax rate.

The measures may be implemented through changes in council tax and stamp duty.

Mr Clegg’s announcement comes after chancellor George Osborne spoke about the proposal in last week’s budget.

He said: "As well as reviewing revenues from the 50p tax rate, we will also be redoubling our efforts to find ways of ensuring that owners of high value property cannot avoid paying their share."

An investigation by the Office for Budget Responsibility found that many high earners took measures to avoid paying the 50p tax rate last year.

Marcus Evans presents property conferences, created by experienced professionals and with information presented by industry experts.