Andy Burnham Property Tax Proposals: What UK Landlords Actually Face as Annual Levy Claims Return

UK landlords are not currently facing a confirmed new annual property tax of 0.96% under Andy Burnham’s government, despite renewed reports suggesting property owners could eventually become liable for a recurring levy.

The debate centres on Burnham’s previous support for reforming council tax and stamp duty, alongside a separate proposal from the Fairer Share campaign to replace the existing system with a proportional property tax.

Under Fairer Share’s model, the standard annual charge would be 0.48% of a property’s current value, with a higher 0.96% rate for second homes, empty homes and properties owned by non-residents.

Those figures are not confirmed government tax rates, however, and Burnham has not announced legislation introducing them.

More importantly for landlords, Burnham explicitly ruled out a large-scale replacement of council tax and stamp duty in the immediate term on 27 July 2026, saying: “That won’t be happening.”

The result is a more nuanced position than some headlines suggest: property tax reform remains part of the political debate, but there is currently no confirmed 0.96% annual landlord tax.

Where Do the 0.48% and 0.96% Property Tax Figures Come From?

The figures come from Fairer Share, a campaign group advocating reform of Britain’s property tax system.

Its model would replace council tax with a proportional property tax based on current property values.

The proposed headline rates are:

• 48% a year for properties charged at the standard rate.
• 96% a year for second homes, empty homes and properties owned by non-residents.
• The charge would fall on the property owner rather than the occupier.
• Stamp Duty Land Tax on owner-occupied homes would also be abolished under the campaign’s model.

Burnham has previously expressed support for reforming the way property and land are taxed and is listed among Fairer Share’s political supporters.

That association has helped fuel speculation that elements of the campaign’s model could eventually influence government policy.

However, supporting the principle of reform is not the same as adopting Fairer Share’s exact tax structure.

What Could the Proposed Rates Cost Property Owners?

If a proportional annual property tax were introduced using Fairer Share’s published percentages, costs would rise directly with property values.

Property value	Annual charge at 0.48%	Annual charge at 0.96%
£250,000	£1,200	£2,400
£350,000	£1,680	£3,360
£500,000	£2,400	£4,800
£750,000	£3,600	£7,200
£1 million	£4,800	£9,600

For landlords, the recurring nature of such a charge would be particularly significant.

Unlike stamp duty, which is generally paid when a property is purchased, an annual property tax would become an ongoing ownership cost and could therefore affect rental yields, portfolio profitability and long-term investment decisions.

Would Every Landlord Pay the 0.96% Rate?

This is one of the most important unresolved points.

Some coverage of the Andy Burnham property tax proposals has presented the 0.96% rate as though it would automatically apply to all buy-to-let properties.

Fairer Share’s published core proposal instead refers to the higher rate applying to:

• Second homes.
• Empty properties.
• Homes owned by non-residents.

Its wording does not clearly establish that every privately rented property owned by a UK-resident landlord would automatically fall into the 0.96% category.

Property118 has also highlighted this distinction, noting that the campaign’s published proposals do not explicitly state that every privately let property would attract the higher rate.

UK Property Accountants has interpreted investment and buy-to-let properties as potentially falling within the higher rate, but it also makes clear that the model remains a proposal rather than government policy.

For landlords, the practical conclusion is that 0.96% should not currently be treated as a settled buy-to-let tax rate.

What Has Andy Burnham Actually Said About Property Tax Reform?

Burnham has a history of backing changes to Britain’s property taxation system.

During his 2010 Labour leadership campaign, he advocated a land value tax that could potentially allow stamp duty to be abolished.

More recently, he has criticised council tax as regressive and expressed support for changing how land and property are taxed.

That background explains why his position is attracting renewed attention.

However, there is a difference between supporting long-term reform and committing to an immediate overhaul.

Burnham Ruled Out an Immediate Council Tax Replacement

On 27 July 2026, Burnham was asked whether stamp duty would be changed or abolished in his forthcoming Budget.

He ruled out reform on that scale, saying: “That won’t be happening.”

The House of Commons Library subsequently recorded that position in its briefing on Burnham’s approach to taxation and devolution.

That means several key elements frequently associated with the Fairer Share model remain unconfirmed.

There is currently:

• No published legislation introducing a nationwide proportional property tax.
• No confirmed government rate of 0.48%.
• No confirmed 0.96% annual rate for landlords.
• No confirmed start date for a Fairer Share-style system.
• No published government framework explaining how buy-to-let properties would be classified.

This does not mean wider property tax reform has disappeared from the political agenda.

It means the specific annual charges currently being discussed should still be treated as proposals rather than settled government policy.

What Could Happen in the Autumn Budget?

The next major fiscal event is the Autumn Budget, expected on 28 October 2026.

Property taxation could continue to form part of the wider debate as the government considers revenue-raising measures and longer-term reform.

However, Burnham’s July statement makes a wholesale replacement of council tax and stamp duty in the immediate Budget less likely.

For landlords, the important distinction is between potential future reform and measures that have already been formally announced.

That distinction becomes especially relevant when compared with another property-related charge that is already further advanced.

High Value Council Tax Surcharge is a Separate Confirmed Measure

The stamp duty is separate from Fairer Share’s proportional property tax proposal.

Under the existing government plan, owners of residential properties in England worth £2 million or more will face an additional annual charge from April 2028.

The proposed annual charges are:

Property value	Proposed annual surcharge
£2m to £2.5m	£2,500
£2.5m to £3.5m	£3,500
£3.5m to £5m	£5,000
More than £5m	£7,500

Unlike the Fairer Share proposal, this surcharge is designed to be added on top of existing council tax rather than replacing it.

Government estimates suggest fewer than 1% of residential properties in England will fall above the £2 million threshold.

For landlords with high-value properties, particularly in London and parts of the South East, this is therefore a more immediate policy issue than the speculative 0.96% annual charge.

What Would an Annual Property Tax Mean for Landlords?

 

If a broader proportional property tax were eventually introduced, landlords would need to assess its effect across several areas.

Rental Yields

A recurring owner-based tax would become another annual operating cost.

For landlords with relatively low rental yields but high-value properties, particularly in London, the effect could be significant.

Portfolio Valuations

A tax linked directly to property value could mean owners of higher-value portfolios face larger annual bills even where rental income does not rise at the same pace.

Rent Levels

Some landlords could attempt to recover part of any additional cost through higher rents, although actual rent levels would continue to depend on market conditions, affordability and regulation.

Investment Decisions

Recurring property taxation could also influence decisions over:

• Buying additional properties.
• Selling lower-yielding assets.
• Holding property personally or through a company.
• Investing in lower-value regions.

Any such effect would depend heavily on the final tax structure, exemptions and transitional rules.

What Should UK Landlords Do Now?

Landlords should avoid making investment decisions based on the assumption that a 0.96% annual property tax is already confirmed.

Instead, they should separate the current debate into three categories.

Confirmed measures: policies such as the High Value Council Tax Surcharge that have already been formally announced.

Political proposals: ideas such as Fairer Share’s 0.48% and 0.96% proportional property tax model.

Possible future reforms: wider changes to council tax, stamp duty and property taxation that could be considered by the government later.

That distinction is particularly important for landlords planning refinancing, acquisitions or disposals.

A theoretical annual charge can be useful for stress-testing a portfolio, but it should not be treated as an unavoidable future liability until the government publishes an actual policy.

What is the Current Position on Andy Burnham’s Property Tax Proposals?

As of 29 August 2026, there is no confirmed government policy imposing a 0.96% annual property tax on UK landlords.

Burnham remains associated with wider property tax reform, and Fairer Share’s proportional model continues to attract political attention.

But the campaign’s proposed percentages are not official government tax rates.

Burnham’s 27 July statement also indicates that replacing council tax and stamp duty is not planned as an immediate Budget measure.

For UK landlords, the issue is therefore one to monitor rather than a tax liability to assume is already coming into force.

The more immediate concern for owners of very high-value properties is the separate High Value Council Tax Surcharge planned from April 2028.