Farron fears second homes bonanza after Chancellor's Pre Budget pledge
Local MP, Tim Farron has expressed his dismay today at the Chancellor lowering the rate of Capital Gains Tax from 40% to 18%, which could lead to yet more investment in property as second homes in the area. Mr Farron, who earlier in the week had issued a demand to the Chancellor that something be done to curb second home ownership was astonished at the revelation.
From April, anyone selling a property other than their primary residence will only have to pay 18% in CGT, whereas the minimum used to be 24%, with a maximum of 40%.
Tim Farron said:
"Instead of attempting to discourage excessive second home ownership, which has a detrimental effect on many of our communities, the Chancellor's decision could result in yet more second homes being purchased.
"This enormous tax break is a real blow, young people in the area are struggling to get on the property ladder and this announcement will do nothing whatsoever to cure that problem."