Autumn Budget 2025: Is Property Wealth in the Firing Line?

9th September 2025

The Autumn Budget 2025, due on 26 November, is shaping up to be one of the most consequential for property owners and landlords in years. While nothing is confirmed until the Chancellor stands up in Parliament, a series of briefings and leaks give us a good idea of what’s under consideration.

Rumour mill or real policy shift, here are the five proposals making the most noise ahead of the Budget:

One of the most talked-about ideas is a new National Insurance charge on rental income. Landlords currently don’t pay NI on rents, but ministers are looking at an 8% levy. That could bring in £2–3 billion a year, but it would also leave landlords thousands worse off, especially those with large portfolios. Many in the sector fear the extra costs would be passed straight on to tenants in higher rents.

Another major reform on the table is a shake-up of stamp duty. Instead of a one-off charge paid by buyers, officials are considering an annual property tax focused on high-value homes. Suggested rates run from about 0.5% for properties worth over £500,000 to around 0.8% for those over £1 million. The aim is to spread the burden more fairly, but critics warn it could hit families who are asset-rich but cash-poor, especially in London and the South East.

There’s also speculation that the government could end the capital gains tax exemption on main homes, at least for very expensive properties—those over £1.5 million, for example. That would mark a dramatic departure from decades of policy, with potential knock-on effects for the prime housing market.

At the local level, officials are reviewing council tax, which still relies on 90s property valuations. Options include revaluing homes to reflect today’s prices, adding new higher bands, or even replacing council tax altogether with a broader local property tax. Any of these moves would particularly affect owners of high-value homes.

Finally, while less directly tied to property, changes to inheritance tax are also on the radar. Freezing thresholds, tightening gift rules, or capping exemptions could pull more estates (especially those with property wealth) into the tax net.

There’s a lot of noise and, at times, outright fearmongering around these proposals. Until the Chancellor confirms the measures, it’s important to treat speculation with caution. But equally, now is the time to review your position and consider what changes could mean for you.

For property owners, landlords, and investors, preparation will matter more than panic.

To recap, here’s what to look out for:

• 8% National Insurance on rental income

• Stamp duty scrapped for an annual property tax on expensive homes

• Possible capital gains tax on high-value primary residences

• Council tax reform: revaluations, higher bands, or full replacement

• Inheritance tax tightened, pulling more property into scope