High Value Council Tax Surcharge

Published On: 6th June 2026

There is a consultation ending on 14th July 2026 on a proposed High Value Council Tax Surcharge (HVCTS) on owners of homes for each £500,000 of value above £2 million.

The Forum will respond to the consultation and we urge members to send to chair@londonforum.org.uk any comments or suggestions on points London Forum ought to make by 26 June 2026.

There are four questions in the main part of the consultation to which responses can be submitted by societies, which we urge you to do, through the online survey or by emailing responses to the questions to hvcts@communities.gov.uk

There are more questions on a payment deferral scheme, on exemptions and discounts, on a non-resident premium, on challenges and appeals and on enforcement.

Existing Council Tax bills on property occupiers will be charged alongside the new HVCTS.

The Valuation Office (VO), part of HM Revenue and Customs (HMRC), will conduct a valuation exercise to identify properties in one of four bands with the following charges

£2 million to £2.5 million	£2,500
£2.5 million to £3.5 million	£3,500
£3.5 million to £5 million	£5,000
over £5 million	£7,500

Revenue raised by the HVCTS from April 2028 (collected by Local Authorities who will be reimbursed for the cost), will go the Treasury and used to “support funding for local government services”, in a way the Treasury decides.