High Value Council Tax Surcharge proposals – are you affected?

04 June 2026 3 minute read
An expensive-looking farmhouse

Photograph: iStock

The NFU is seeking to understand the scale of impact of the government's High Value Council Tax Surcharge – a new charge on residential properties worth £2 million and above in England.

In the 2025 Budget, the government announced the introduction of a HVCTS (High Value Council Tax Surcharge) in England on residential properties worth £2 million and above. It is now consulting on the design of this new charge and is seeking views on whether or not it should apply to property owned in relation to employment, such as farmhouses where the owner/occupier has to live on site.

The government is also suggesting that the owner of the property will be liable to pay the charge rather than a tenant who may be in occupation, unless the tenant has a lease that was initially granted for over 21 years.

To aid the NFU's response to this consultation, we are seeking evidence from NFU members in relation to whether there are farmhouses that, in their own right, would be worth £2 million or more.

We are also interested in whether any such properties are occupied by a tenant farmer.

For clarity, the value of the property only includes the residential elements of it including gardens, garages, stables, private storage buildings etc. that are mainly used for domestic purposes and form part of the dwelling as a whole. It does not include the value of the agricultural land and buildings.

This survey will close on 24 June 2026.

Take the survey

Annual High Value Council Tax Surcharge charging structure

Threshold (£ millions) Charge (£)
£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

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