£37bn property tax bill looms as UK tops global rankings for business levies | The latest National and International News
The UK carries the heaviest commercial property tax burden of any major economy, according to a new report that warns the high levies are weighing on business investment. The country ranks first globally for property taxes as a share of GDP, putting it ahead of all comparable economies.
The findings from global tax firm Ryan come as thousands of UK businesses brace for a sharp jump in their rate payments. Business rates receipts are forecast to rise to £37.1 billion for the 2026/27 financial year, up from £33.6 billion the previous year.
The increase follows the revaluation of business rates in England, Wales and Scotland. While the government announced targeted support for pubs and music venues, sectors such as hotels have warned over predicted rises in their property tax bills.
Investment Impact
The high tax burden is beginning to affect investment decisions across UK firms, experts indicated. The report also found the UK ranked second globally for total property tax revenues, based on analysis of the latest available international data.
Alex Probyn, practice leader for Europe and Asia-Pacific property tax at Ryan, said: “The UK sits at the very top of global rankings for property tax. That is not a marginal difference but it reflects a system where property is taxed more heavily than in any other comparable economy.”
