London homes worth over £2m will be taxed by Rachel Reeves at the Budget.

Rachel Reeves will reportedly impose a property levy on homes worth more than £2m, hitting 100,000 properties with a new wealth tax that is expected to raise just £450m.

The Chancellor is in the final phase of Budget preparations, with measures expected to include some more complex changes to the UK tax regime as she looks to fill a £20bn fiscal hole.

The expected tax on homes worth over £2m will be seen as a raid on the wealthiest in the country.

The government previously considered applying the levy, which is set to change according to property prices, from homes worth £1.5m, according to The Times .

Plans were changed after concerns were raised around the prospect of hitting people who were cash-poor and

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