Prime property in areas like Mayfair and Belgravia is currently going for as little as £1,800 per square foot, but reversing inheritance tax on global assets could re-establish London’s appeal to the world’s rich, says Edward Matthews

Reports that Rachel Reeves is considering reversing the requirement for overseas high net worth individuals (HNWI) to pay inheritance tax (IHT) on their worldwide assets could provide a timely boost to the Prime Central London property market. This policy shift would not only improve sentiment but could help the capital regain its position as an attractive destination for international investment, particularly at a time of global uncertainty and geopolitical risk.

The Treasury’s decision to extend IHT to global assets was the inflection point for many non-domiciled individuals, prompting them to reconsider their exposure to the UK and, in many cases, reallocate capital to more favourable tax jurisdictions. Unsurprisingly this capital flight has negatively impacted the property market.

Transaction volumes have slowed considerably and according........

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