November’s Budget introduced a number of housing-related measures that are expected to affect landlords, homeowners and first-time buyers over the coming years. While some changes will not take effect immediately, they signal a clear shift in government policy and could influence decisions across the property market. Here’s a quick reminder: 

Landlords are likely to feel increased financial pressure following announced changes to the taxation of rental income. From April 2027, Income Tax on property earnings will rise by two percentage points across all bands, taking the basic rate to 22%, the higher rate to 42% and the additional rate to 47%. For many buy-to-let investors, these increases will reduce after-tax rental yields and add to existing cost pressures, including mortgage rates, maintenance costs and regulatory requirements. 

First-time buyers are also facing a significant change, with the government confirming plans to reform the Lifetime Individual Savings Account (LISA). A formal consultation is due in early 2026, with the intention of introducing a new, simpler ISA product designed to support people buying their first home. 

The Budget also outlined plans for a new High Value Council Tax Surcharge, sometimes described as a ‘mansion tax.’ From April 2028, owners of homes valued at £2m or more (based on 2026 values) will face an additional annual charge of £2,500, rising to £7,500 for properties worth £5m or more. While only around 0.5% of homes are expected to be affected – mainly in London and the South East – the measure could still have wider implications for the high-end market. 

It is important to take professional advice before making any decision relating to your personal finances. Information within this article is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored advice and is for guidance only. Some rules may vary in different parts of the UK.