The British property tax system needs to be completely overhauled, according to the head of one of Britain’s biggest housebuilders.
Rob Perrins, managing director of The Berkeley Group, has called for council tax, stamp duty, capital gains tax and the possibility of a mansion tax to all be reviewed by the next government.
Writing for telegraph.co.uk, he argued that high-value properties remain under-taxed and that stamp duty should be paid by the seller not the buyer. He also agreed that foreign property investors should be made to pay capital gains tax on UK properties.
“The crucial point is that all these taxes need to be reformed together. It’s no good picking off just one element – that way, you get good politics and bad economics,” he said.
Perrins acknowledged that dramatic legal renovations rarely happen so close to a general election and that this was a problem for the new government to address.
Commenting on these controversial opinions, property journalist Mark Benson was keen to point out the importance of keeping property investors onside during an economic recovery.
Writing for propertyforum.com, he said: “When you bear in mind that the UK property market has historically dragged the UK from periods of recession it is vital that the interest and trust of property investors in the UK is maintained by the government.”