Yesterday’s Autumn Budget brought a mix of confirmations, surprises, and a few missed opportunities for the property world. After weeks of speculation around major Stamp Duty changes, many buyers, sellers, landlords and agents were left waiting for reforms that didn’t materialise.
Here’s our straightforward breakdown of the key announcements—and what they mean for the market here in York and beyond.
Stamp Duty Frozen & No Movement on LHA Rates
Despite all the chatter in recent weeks, the Chancellor confirmed no changes to Stamp Duty.
There was also no update to Local Housing Allowance (LHA) rates, which remain frozen.
For buyers, sellers and renters hoping for some relief or support, this will feel like a disappointment.
New ‘Mansion Tax’ for Properties Over £2 Million
A new High Value Council Tax Surcharge will come into effect from April 2028 for homes valued above £2 million. The extra annual charge will range from £2,500 to £7,500 depending on the price bracket.
While this will mainly affect London and the South East, any change in higher-value sectors tends to ripple across the wider market, so it’s one to keep an eye on.
Private Rental Sector: More Pressure on Landlords
From April 2027, property income tax rates will increase by 2%, meaning:
- 22% basic rate
- 42% higher rate
- 47% additional rate
Local mayors will also be able to introduce overnight visitor levies, similar to those being brought in across Wales and Scotland.
These new measures add to a decade of increasing costs for landlords—such as reduced mortgage interest relief, Stamp Duty surcharges, lower capital gains allowances, and the Renters’ Rights Act.
With returns continuing to shrink, we expect more landlords to consider exiting the market. When rental supply drops and demand stays high, rents typically climb, so tenants may continue to feel the pressure.
Home Buying & Selling: Reform Still Needed
There’s still a strong desire nationally to make the moving process smoother and more efficient, and the government is currently consulting on how to achieve this.
We’ve already responded to their survey, highlighting our core priority:
- Reducing delays and friction during transactions
Despite the uncertainty, forecasts remain positive overall, with average UK house prices expected to rise from £260,000 in 2024 to nearly £305,000 by 2030.
A Missed Opportunity?
With the target of 1.5 million new homes and ongoing discussions around improving the buying and selling process, many expected more from this Budget.
Support for first-time buyers, meaningful Stamp Duty reform, or incentives that make upsizing or downsizing easier would have brought confidence and much-needed momentum to the market. With the typical first-time buyer deposit now at around £60,000, action in this area feels overdue.
Our View at Indigo Greens
In our view, this Budget leaves landlords, homeowners and tenants facing continued pressures, with many of the sector’s big challenges still unaddressed.
The uncertainty leading up to the announcement has already slowed activity as many people chose to “wait and see”.
As always, we’ll continue to keep you updated as more details come out. In the meantime, we’re here to offer clear, honest and local guidance—whether you’re thinking of selling, buying, or simply weighing up your next move.
