CAPITAL GAINS TAX AND SECOND HOMES

Motion Text

That this House notes with concern the Government's decision to lower the rate for capital gains tax on sales of all property excluding the primary residence, reducing it from a maximum of 40 per cent. and a minimum of 24 per cent. to a flat rate of 18 per cent.; recognises that this could result in a further increase in second home ownership, which is already a serious problem in areas such as Westmorland and Lonsdale, where in some villages up to 75 per cent. of properties are classified as second homes, forcing schools, post offices and other vital local services to close; and urges the Government to reconsider this policy.