Who will be affected by the Rachel Reeves £2m mansion tax?

Who will be affected by the Rachel Reeves £2m mansion tax? The new annual surcharge on homes over £2m has been positioned as a targeted, progressive measure, yet the maps tell a very different story. This is overwhelmingly a London and South East tax. Outside those areas, the proportion of £2m homes barely registers. In parts of central London, however, entire neighbourhoods sit far above the £2m threshold, which means thousands of households are now staring down the barrel of a recurring annual bill from 2028. Reactions across the property industry follow a clear theme. Many describe the measure as a mansion tax in all but name, and a levy that hits people who bought modestly decades ago only to find their homes now sitting above an arbitrary line. Some argue it feels like a punishment. Long term owners who are asset rich but cash poor could struggle the most, forced to absorb another cost they never planned for. Others warn of a freeze in the prime market because buyers will hesitate to purchase a home that comes with a permanent annual surcharge. Sellers may end up cutting prices simply to move on. Concerns extend beyond London’s trophy postcodes. In the South East, homes between £2m and £4m are already seeing significant price reductions, and this policy could deepen the divide between the higher and mid price brackets. There is also anxiety that this becomes a new cliff edge at £2m, distorting behaviour for years. Renting may also be affected because if the surcharge is collected through council tax, the liability will sit with tenants and increase their monthly costs. The one positive note is timing. With implementation set for April 2028, households who want to downsize have a sizeable window to act. Many are expected to do so rather than carry a new annual charge into retirement. More details on the other changes for homeowners and landlords to follow on what this means for the Huddersfield local property market in the coming week.

The Renters’ Rights Act

 We are writing to update you on the implementation of the Renters’ Rights Act (RRA). As many of yo

We are writing to update you on the implementation of the Renters’ Rights Act (RRA). As many of you will know the government has confirmed that “Phase 1” of the Act will come into force on 1st May 2026. This marks the beginning of significant changes to the private rented sector, and we want to ensure you are fully informed and prepared.

 

What Happens on 1st May 2026 (Phase 1)

 

The first set of reforms coming into effect includes:

 

Abolition of Section 21 “no-fault” evictions, from 1st May, Section 21 will no longer be available to end tenancies.

 

New grounds for possession.

 

Updated grounds will allow landlords to:

 

• Move back into the property
• Move close family members in
• Sell the property
• Carry out major refurbishment
• These grounds will come with revised notice periods.
• Periodic tenancies become the default.
• All new tenancy agreements from 1st May must be periodic.
• Existing ASTs continue as they are until that date.

Rent review reforms.

 

• Rent increases will be limited to once per year via the statutory Section 13 process.
• Ban on rental bidding wars and cap on rent in advance (maximum one month).
• Anti-discrimination protections and a tenant right to request a pet.

 

Future Phases Announced

 

Phase 2 – Likely to be Late 2026

• Introduction of the new PRS Database
• Launch of the Landlord Ombudsman Scheme

 

Phase 3 – Date TBC

• Decent Homes Standard for the private rented sector
• Implementation of measures similar to Awaab’s Law

Although it is likely local councils will have powers of enforcement by the end of December 2025- I will write further in regards to this in due course as and when I know more, the reality is that the local councils are busy enough!

 

We have and are actively working on the processes and documentation required to navigate these changes for our landlords and as the leading agent in the area with over 1600 properties managed we look forward to guiding you through the coming months.

If anyone has any queries feel free to contact my expert team,.

The 2025 Huddersfield Property Market

 

What Happened This Year — and What 2026 Will Bring

As 2025 draws to a close, it’s a perfect moment to step back and review what’s changed in the UK property market and, more importantly, what’s been happening right here in Huddersfield. The trends of the last three years reveal a market that’s active, resilient, and increasingly shaped by the type of homes people want — not just what they cost.

1. The UK Property Market (2023–2025)
More Homes Coming to Market

Listings have grown each year:

2023: 1.41 million

2024: 1.52 million

2025: 1.56 million

Asking prices stayed fairly level, but £/sq.ft has steadily risen — not because homes became more expensive, but because the mix of listings changed.
More:

Smaller, starter homes

High-end, premium properties

These both achieve higher price-per-square-foot figures and pushed the national average upwards even as headline prices stayed flat.

Sales Activity Accelerated, Not Prices

Properties sold SSTC:

2023: 824,665

2024: 958,239

2025: 997,472

Completions also increased every year.

Yet despite the surge in activity, average sale prices barely moved.

This is the story of the UK market in 2025:
➡️ More people moving,
➡️ More transactions completing,
➡️ But prices remaining stable.

This tells us the market is healthy, not overheating — driven by confidence and affordability, not runaway price growth.

 

What’s Been Driving This Stability?

A combination of long-term structural issues and short-term economic improvements:

 

1. Falling mortgage rates

After peaking in 2023, rates gradually cooled. Each reduction unlocked pent-up demand from buyers waiting on the sidelines.

2. Wage growth ahead of inflation

Real incomes improved in 2024 and 2025, supporting affordability.

3. Unemployment remains low

Slight rise in 2025, but still near historic lows — enough for families to feel secure making big decisions.

4. Lifestyle shifts

Hybrid working, bigger gardens, flexible space — three years on, these trends continue shaping what and where people buy.

5. Chronic lack of new homes

The UK needs 300,000 homes per year, but has averaged only 210,000.
A 2.7 million home deficit has built up over 30 years, keeping supply tight.

These factors combined have held the market steady despite wider economic ups and downs.

 

2. Huddersfield Market Overview (2023–2025)

Huddersfield’s market has its own rhythm — connected to the UK but always with local twists.

Listings and Asking Prices

2023: 3,432 listings — £259,330 avg

2024: 3,963 listings — £271,647 avg

2025: 3,870 listings — £281,367 avg

 

A consistent flow of new homes each year and gently rising asking prices show increasing seller confidence.

Sales and Completed Transactions

2023: 1,979 completions — £233,981 avg

2024: 1,997 completions — £233,916 avg

2025: 2,219 completions — £258,356 avg

 

2025 stands out:
✨ 11% more completions than 2024
✨ Achieved prices strengthened noticeably
✨ Buyers remained active despite national uncertainty

Huddersfield’s market is steady, dependable, and grounded in real demand, not speculation.

 

Why Huddersfield Performs Better Than the UK Average

Here’s a vital statistic:

UK: Only 53% of homes listed actually sell.
Huddersfield: 62.38% sell.

This puts Huddersfield well above national norms.

Why?

Good affordability compared to most UK regions

Strong rental demand driving investor activity

Good commuter connections

A broad mix of housing types attracting a wide range of buyers

Realistic pricing from sellers

In short, homes here are more likely to find a buyer than in many parts of the country.

 

3. What Will the 2026 Market Look Like?

Huddersfield will broadly follow the UK's stable outlook, but local influences will matter most:

 

What will shape 2026 locally?

Major employment hubs expanding or contracting

New transport and infrastructure projects

Shifts in rental demand

Availability of family homes in key school catchments

Continued lack of new-build supply

Huddersfield’s market has shown resilient demand, even when the national picture has been mixed. This is likely to continue in 2026.

 

4. The Most Important Rule for Selling in 2026
Price your home correctly from day one.

National data proves it:

53% of homes that sell find a buyer within 35 days.

If you receive an offer within 25 days, you have a 94% chance of completing.

Agree a sale after 100 days, and completion chances drop to 56%.

Since 2001, homes sell for within 0.9%–1.3% of the final asking price — the price before going under offer.
(So repeatedly reducing your price simply wastes time and loses momentum.)

Homes attract the most motivated buyers in the first 2–4 weeks.
Start too high and you lose that window — often permanently.

 

5. Thinking of Selling or Moving in 2026?

My role as a local Huddersfield agent is to:

Analyse live market data daily

Understand which homes are selling, and why

Track what buyers are looking for in each HD postcode

Price your home to create maximum early interest

Help you achieve a strong and realistic sale price

Minimise time on the market and reduce fall-through risk

If you want a data-driven, realistic and proven approach to selling in Huddersfield in 2026, we'd be happy to help