- Think tank the Resolution Foundation has called for council tax and stamp duty in England to be replaced by a new 0.7 per cent proportional property tax.
- The report highlights that London households underpaid by £3.1 billion in 2024-2025 due to an outdated tax valuation system based on 1991 property bands.
- Under the proposed overhaul, 80 per cent of London households would face higher bills, with the top 20 per cent paying an average of £950 more annually.
- Most households outside the capital would benefit from the changes, with 85 per cent of homes in the North East saving an average of £710 a year by 2030-2031.
- The proposals aim to fix severe inequities in the current system, which can result in standard homes in Blackpool paying more tax than £10 million mansions in Mayfair.
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