Key facts
- Proposed tax hike targets commercial buildings with a rateable value over £500,000.
- The move is expected to raise £1 billion.
- London's Square Mile and Canary Wharf would be disproportionately affected.
Healey eyes £1bn tax raid on London offices, sparking growth concerns
IN SHORT
UK Chancellor John Healey is reportedly considering a £1 billion increase in business rates for London offices in the upcoming Autumn Budget. Industry experts warn this move could harm economic growth and disproportionately affect the capital.
Key Numbers
£1bnpotential revenue from increased office business rates
£500,000rateable value threshold for affected commercial buildings
September 28date of the Autumn Budget
Who's Involved
John Healey
UK Chancellor considering £1bn tax raid on London offices
Vanessa Hale
chief executive of Real Estate:UK calling the move an "attack on growth policy"
Owen Spencer
counsel at Forsters Law warning of consequences for businesses and the flexible office market
↳ Why This Matters
A potential £1 billion tax increase on London offices could significantly impact the UK's economic growth and deter investment in the capital's commercial property market, affecting businesses and developers.