London’s luxury property market has outperformed expectations, despite recent changes to the UK’s non-dom tax rules. Experts believe Britain’s “boring but solid” political climate is proving attractive to global investors in uncertain times.

Industry leaders had warned that scrapping the non-domicile tax regime could weaken demand for high-value properties. However, recent data suggests otherwise, with the number of £10 million-plus property deals doubling in late 2023 compared to the previous year.

The UK’s super-prime market remains resilient, bolstered by ultra-high-net-worth individuals less affected by rising interest rates. This stands in contrast to concerns in the US, where stock market volatility and shifting economic policies could dampen luxury real estate sales.

London’s recovery comes after years of decline due to Brexit and the pandemic. Analysts suggest the city is regaining its appeal, positioning itself as a stable, long-term investment destination despite higher tax burdens than rival markets like Italy, Portugal, and Switzerland.

Key Takeaways:

• London’s super-prime market remains strong despite tax reforms.
• Property deals above £10m doubled in late 2023, signaling recovery.
• Britain’s economic stability is attracting international buyers.
• Luxury real estate faces uncertainty in the US due to market fluctuations.