Property tax threat is slowing down housing market, say UK agents

The number of property sales agreed was up by 5% year on year in July, Zoopla said. Photograph: William Barton/Alamy

Speculation that the chancellor could announce new property taxes in her autumn budget is likely to slow down an already price-sensitive housing market, estate agents have said.

Rachel Reeves is reportedly considering a tax on the sale of homes over £500,000 and the removal of the capital gains tax exemption on primary residences above £1.5m as ways to boost income for the government.