The government has used this week’s Conservative party conference to announce a new stamp duty tax of one per cent to three per cent on foreign buyers of property in the UK.
The party has leaked the news to selected journalists this morning.
The Tories claim that research from York University shows 13 per cent of new London homes were bought by non-residents between 2014 and 2016.
A separate study by King’s College London apparently estimates a one percentage point increase in the volume of homes being sold to overseas companies put up house prices by 2.1 per cent.
The Sunday Times and The Observer say the new tax will take the form of higher stamp duty - exact details will be the subject of a formal consultation.
“At Conservative conference last year, I said I would dedicate my premiership to restoring the British dream, that life should be better for each new generation, and that means fixing our broken housing market. Britain will always be open to people who want to live, work and build a life here” Theresa May says.
“However, it cannot be right that it is as easy for individuals who don’t live in the UK, as well as foreign-based companies, to buy homes as hardworking British residents” she continues.
“For too many people the dream of home ownership has become all too distant and the indignity of rough sleeping remains all too real. This government is committed to helping hardworking British residents get the right home for them and helping to end the scourge of rough sleeping for good.”