Continued recognition for Forsters in Spear’s Property Index 2025
20 March 2025
News
Lawyers in our Real Estate practice have been recognised once again in Spear’s Property Index 2025. This year includes two new additions to the rankings: Senior Partner, Natasha Rees, for her extensive expertise in ‘handling contentious leasehold enfranchisement cases and high-stakes property matters’ and Senior Associate, Poornima Andrews, for her ability to deliver ‘successful outcomes even in the most challenging circumstances’.
The Index features the industry leaders advising private clients on prime property. With more lawyers listed than any other firm, the Index is testament to our investment in curating a team of residential property specialists with the ability to advise clients on all of the legal particularities and peculiarities they face on their property journey.
Paper trials – Conveyancing and the Building Safety Act: Charles Miéville quoted in the Law Society Gazette
23 February 2024
Views
Residential Property Partner, Charles Miéville, has been quoted in the Law Society Gazette in an article on conveyancing and the Building Safety Act.
The article draws on opinions from industry experts and touches on the issues surrounding the Building Safety Act 2022 and the subsequent slowing of leasehold transactions. The article elaborates on recent guidance published to try to provide conveyancers with some clarity.
Charles highlights issues when selling a property and the difficulties of navigating the legislation when dealing with property transactions. He comments: ‘There’s a bit of a learning curve, and some of the legislation hasn’t been tested in the courts.’
As a solution to these issues Charles suggests that there is a ‘need to advise landlord clients where they sit in terms of remediation costs. If one deadline is missed, costs cannot be recouped from the tenant.’
My PRIDE Story: Charles Miéville writes for The Lawyer
1 June 2023
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Residential Property Partner, Charles Miéville, has authored a personal article for The Lawyer entitled ‘My Pride Story: With increased visibility it’s easy to forget that success may not come so easily to some’.
In his article, Charles shares a candid insight to his life growing up as a gay man. He highlights the progress made over the past ten years to support the LGBTQ+ community, particularly in terms of events to raise awareness such as PRIDE, but addresses the prejudice that remains.
Forsters recognises and appreciates that no two people are the same, and encouraging individuality is very much part of the firm’s culture. Forsters is a very welcoming firm, and we are committed to providing an environment which allows everyone to develop and grow regardless of age, sex, sexual orientation, disability, gender reassignment, marriage or civil partnership, maternity or pregnancy, race, religion or belief, and to ensuring that everyone is treated with dignity and respect. For more information, please visit our Diversity and Inclusion page.
International Buyers Continue To Seek UK Homes Despite UK Economy Concerns – Charles Miéville writes for Abode2
11 April 2023
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Despite the UK economy and house prices in many sectors currently falling, prime residential property is a sector of the market which continues to flourish as a popular choice for international HNW and UHNW clients looking to relocate or invest.
Whilst these properties have predominantly been in prime Central London, there’s also a keen interest in trophy assets located outside of the capital, although, through a lack of supply, particularly in the countryside, these transactions are undoubtedly fewer in number.
Why is the UK such an attractive place for international buyers?
There are several reasons for this stable trend. One explanation for those moving from overseas is the UK offers an advantageous time zone, being roughly equidistant between North America and Asia.
For all international buyers, English Law is viewed as a safe, stable and secure system under which to buy and own assets, both from a financial and family perspective. The schooling system is also favoured by many international families who then require a bolt-hole in the UK whilst their children are based here.
One huge attraction for US citizens, in particular, is the property tax benefits. State property taxes in the US, particularly in New York and California, are very high. Compare this to the UK, where acquisition taxes are far higher (in the form of stamp duty land tax), but the holding costs are far lower (being limited to council tax and service charge for flats), meaning if US buyers are holding their UK assets for any length of time, it may prove a cheaper alternative to US real estate.
Will the housing market prices dip for high-value houses?
Having spoken to several agents over the last few days, they are still seeing that there is a healthy appetite from individuals in the Middle East, the States and Asia. It is likely that throughout 2023 we will continue to see premium sales continue apace and valuations continue to hold, particularly while stock remains low.
This article was first published for the Abode2 luxury property publication, which can be accessed here.
For more information on our services for individuals and families relocating to the UK, see here.
Moving to the UK is an exciting life event whether it be a short-term move for work to explore business prospects or a more permanent relocation with the whole family; the UK offers an eclectic range of options to live, work and learn, from the cityscapes of London to vineyards in the English countryside and historic university towns in-between. Setting up life in a new country can feel daunting too and it can be difficult to know where to start.
To celebrate International Women’s Day (IWD) 2023, Forsters is delighted to be releasing a series of Q&As with some of our partners and employees who go above and beyond to champion equity across our business.
We hope they will provide an insight into what drives those individuals who are really pushing the equity agenda forward.
Charles Miéville is a Partner in our Residential Property team and Joint Head of EDI at Forsters. Charles shares how his experience as a gay man led to his desire to be more involved in EDI efforts at Forsters, including supporting gender equality. Read more from Charles below:
1. How does this year’s theme of Embrace Equity resonate with you?
As a gay man, I can relate to the need for equality across all minority groups. That led to my desire to be more involved in the firm’s EDI efforts and I now head up EDI with my colleague Amy France.
People sometimes say that we don’t need any such initiatives, or that they on a personal level have “no issues” with minority groups. This misses the fact that they are often speaking from a position of privilege and are unaware of the prejudice and differing treatment minority groups often still experience. I recently attended a talk from a male transgender lawyer. It was fascinating to hear his experience of meetings as a man, compared to as a woman, and how even in the UK today he suddenly found he had a voice as a man in a professional environment where previously as a woman no one listened to his opinions. As there is severe injustice in the world at large in this regard, our need to campaign and support minority groups is not over and is ever more important.
2. Have you ever experienced being treated inequitably in your career? If so, how did you move forward from it?
I am lucky that I have not experienced inequitable treatment myself, but my experience of those who have has made me even more grateful and determined to work to eradicate inequality.
3. Tell us about your most inspiring female role models (whether at Forsters, clients, or beyond).
Any of the female partners who have risen to the top of their careers, whilst managing to raise a family. Historically (and not at Forsters) I have heard mention of women “stepping off the career ladder” to raise a family – this must always have been a concern for women raising families, the attitudes of fellow workers, and the often-heard sentiment that women returning to work would not necessarily be “as committed” to their jobs. I am pleased that the tide is turning (and in many organisations has turned) in this regard – you only have to look at all the wonderful women we have who are running our firm (and my department) – I would struggle to pick anyone in particular out for this!
4. What has been the highlight of your career?
Being taken on as a partner at Forsters (I wasn’t paid to say that!). I think that it can take time to find one’s natural calling, I have had a journey through commercial property into residential, and slowly and surely have found my footing.
5. What is the best advice you have been given?
This wasn’t advice, more of my own approach to life, which is follow your heart. Although I spent many happy years at a Magic Circle firm and worked on some amazing transactions with incredible people, my heart was not in it. I took a gamble on switching to the residential world (as well as an initial large pay cut!). I now really love coming into work, and the division between work/home life is more blurred, which I take as a sign that I love what I do. Without being big headed, that has led to my success in what I do now (and a little more money has followed). Health, family and happiness are the most important things we have. We only have one chance at life, so live it, don’t endure it!
6. What did you dream of doing when you were a child?
Being a lawyer – be careful what you wish for!
7. Do you think of embracing equity at work, and pushing forward the equity agenda, falls equally on both genders? If not, what impact do you think this has on women?
Definitely both – like any minority group, it is important to feel support from those not part of it, as much as needing to push the agenda themselves.
Over the last decade Airbnb has become a booming business, but this increase in rentals has led to a shortage of properties on the normal rental market. As such, the government is considering introducing a requirement for planning permission for use of properties for short-term rentals, to help resolve the lack of availability.
In their article, Charles and Victoria outline the likely effects this will have on the property market and highlight the complexities faced by those tasked with policing the use of properties.
The article was first published on PrimeResi on 9 February 2022, and is available to read in full here, behind the paywall.
Charles shares his thoughts on the outlook for the residential market in the UK, as well as recent changes to the property tax regime, Emma explains some of the key cross-border issues at play and the estate planning options available, and Rosie gives her insights on what to consider in terms of protecting assets for the future in light of the changing shape of relationships.
When acquiring UK property, US purchasers should seek advice on the broader tax and legal implications. In this report, Forsters’ partners along with specialists in the industry, share their insights on the current UK market for US buyers and how best to navigate the specific risks for US-connected clients.
The purchase or sale of a high value home requires expert legal advice to manage the complexities involved. Our lawyers are dedicated to sharing their knowledge to enable you to navigate the legal practicalities of buying and selling high value assets. We will support you through every stage of the process, and with the largest dedicated Residential Property team in London, we have the strength to do this. Visit our Hub to learn more.
Charles Miéville and Emma Gillies write for Bloomberg Tax on SDLT for international buyers
25 August 2021
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Residential Property Partner, Charles Miéville, and Private Client Partner, Emma Gilles (née White), have authored an article for Bloomberg Tax entitled ‘U.K. Property Market—Tax Considerations for International Buyers’.
The article, published on 20 August 2021, has been reproduced with permission from Copyright 2021 The Bureau of National Affairs, Inc. (800-372-1033) www.bna.com.
The Covid-19 pandemic has led to 18 months of changes from a U.K. Stamp Duty Land Tax (SDLT) perspective with mixed (and conflicting) objectives, from kick-starting the property market to improving affordability for the average buyer. On July 8, 2020 an SDLT “holiday” was introduced which is still ongoing, albeit in a reduced way. In April 2021 a 2% non-resident (NRSDLT) charge commenced.
As the tax holiday winds down, we consider what each of these measures was introduced to achieve, what the result was, and how international buyers should now approach any new purchase in light of the current SDLT legislation.
Stamp Duty Land Tax Holiday
The pandemic led to a great deal of uncertainty in the U.K. property market as the government initially advised against moving home; people were also naturally cautious about this in a time of great unpredictability. The U.K. chancellor’s introduction of an SDLT holiday on the first 500,000 pounds ($687,800) of the purchase price aimed at re-opening the market, encouraging buyers to put their SDLT saving into a deposit, and kick-starting the buying process for many would-be buyers.
The SDLT holiday benefits all buyers, whether purchasing a main or additional residence, and whether domestic or international investors. It also had the effect of pushing up prices, as supply dwindled and demand increased, so much so that any SDLT saving may easily have been lost to the significant increase in asking prices, pushing many homes well beyond the affordability of the intended buyers.
In March 2021, the SDLT holiday was extended, so that the market did not fall off a cliff face at a time of great economic uncertainty, and the staggered reduction of the saving, which had been as much as 15,000 pounds, has, from June 30, 2021, been reduced to a maximum saving of 2,500 pounds until September 30, 2021.
Given the high average price of a property in London and the south of England, it is unlikely that many people in this region will be purchasing at under 250,000 pounds and therefore benefiting from the full current exemption. First-time buyer relief on properties up to 500,000 pounds is however still available.
The result of the reduction of the SDLT saving was a flurry of transaction completions before the deadline; our office saw over 200 completions in the final weeks of June. Interestingly, the SDLT holiday was a key factor for clients in all price brackets, rather than just those up to 500,000 pounds who would pay no SDLT at all. The impetus to complete the purchase before September 30, 2021 is now far smaller given the reduced saving.
Non-resident Stamp Duty Land Tax
Against this backdrop, a 2% NRSDLT charge was introduced in April 2021. The aim of the tax, which applies to “non-resident” purchasers only, was to improve affordability of housing against large price increases over the last few years; any funds raised would be used to tackle homelessness.
In order to avoid a NRSDLT charge, a buyer must have been living in the U.K. for 183 continuous days in the calendar year prior to completion of the transaction, otherwise the buyer will be liable to pay the tax. If the buyer can then show a period of 183 continuous days living in the U.K. during a combination of the years immediately prior and post the transaction completion, they will be able to claw back the 2%.
It is important to note that the test for the application of the NRSDLT charge is entirely separate and distinct from the statutory residence test (SRT) that applies when determining tax residence for all other U.K. tax purposes. It is possible for an individual to be tax resident in the U.K. under the SRT while being non-resident for the purposes of NRSDLT, and vice versa.
Unlike the previously introduced 3% surcharge that applies on the acquisition of an “additional residential property”—where a transaction was automatically liable to this charge where one half of a married couple owned another property, even if they were not involved in the purchase—the 2% NRSDLT charge can be avoided where a married couple or couple in a civil partnership buy a property, and only one of them is non-resident for the purposes of the tax; so there is no need to structure to avoid the NRSDLT if one half of a married couple only meets the requirements.
It may therefore be helpful if an international buyer who is considering buying in the U.K. is able to spend the requisite six-month period in the U.K. prior to completion of the property purchase (or immediately afterwards) to avoid the NRSDLT charge. However, such international buyer should not spend this amount of time in the U.K. without seeking advice on the broader U.K. tax consequences of doing so.
This SDLT charge has seen far less interest from international buyers to date, particularly given the majority of sales during lockdown have been to a domestic market, with very few international buyers committing to purchases sight unseen. It will be interesting to observe the impact of the 2% NRSDLT once travel corridors fully reopen. It is questionable whether it will achieve its desired outcome, given the affordability of U.K. property for foreign buyers due to favourable exchange rates, low interest rates for borrowing, and the high holding costs of property in some overseas locations, notably New York and California, where there are significant annual property taxes.
Interpretation can be Complex
A more complex example of the current SDLT position can be seen in the following recent transaction this firm handled which brings into play both the 3% SDLT charge, the 2% NRSDLT charge and the SDLT holiday.
A couple who lived abroad sold their main residence abroad and moved into a U.K. pied-a-terre they owned. They aimed to replace their main residence with a London house purchase, but having just moved to the U.K. are living in their pied-a-terre. They entered into a conditional purchase contract to buy a house. If the contract completion date is prior to September 30, 2021, they will benefit from the 2,500-pound SDLT holiday saving, but due to not having been in the U.K. for 183 continuous days in the year to completion, they would be charged the 2% NRSDLT. They would be able to reclaim this after November 2021, by which point they would have been here for the requisite 183 continuous days.
Alternatively, if the conditions to the contract are not satisfied until after September 30, 2021, they would lose the 2,500-pound SDLT holiday but potentially still be liable for the 2% NRSDLT if completion is any time before November 2021. If completion is in November 2021, they do not benefit from the SDLT holiday, but equally they do not pay the NRSDLT. The position has been further complicated by entry into an option agreement to buy the house, the grant of which triggered an SDLT charge, which is initially based on the NRSDLT calculated charge, but which needs to be revisited once the sale itself completes or at a later date when NRSDLT is not chargeable, which could lead to a refund for the initial option grant.
Planning Points
As is demonstrated by the above example, the SDLT legislation is constantly shifting, and its interpretation can be complex. By moving quickly prior to September 30, 2021 buyers will achieve a small saving in many price brackets, and by structuring their purchase around a six-month U.K. stay may be able to avoid the 2% NRSDLT—although they should be aware of the broader U.K. tax consequences of doing so.
Further planning would be needed to avoid the 3% surcharge on SDLT for additional dwellings, such as selling your former main residence and replacing it with your U.K. main residence, selling or gifting any additional properties prior to purchase of your main residence (but beware any capital gains tax or inheritance tax or foreign tax consequences).
As ever, early structuring advice and legal involvement will be key to minimizing stress and unintended tax consequences.
Meanwhile, the government’s plans to boost the property market on the one hand, and to make it affordable on the other, will continue to have a very mixed effect on market conditions, though it appears our international client base is keen to revisit U.K. acquisitions as soon as travel is easier, and seems undeterred by the myriad possible pitfalls.
Disclaimer
This article reflects the law as of 25 August 2021. The circumstances of each case vary and this note should not be relied upon in place of specific legal advice.
A resilient outlook for the UK property market in some sectors
20 July 2021
News
High-value London homes remain popular
Property experts from across the industry agree that while many areas of the UK residential property market are slowing in light of rapidly increasing costs of finance and concerns around the economy in general, high-value London real estate and property located in sought after locations, continues to be a popular choice for international buyers, both as a place to call home and for investment purposes.
Hugh Dixon of Knight Frank’s Private Office shares this view, commenting that:
‘The economic mood has darkened but the market is far from grinding to a halt. The number of new prospective buyers in London over June 2023 was 24% above the five-year average. The resilience is perhaps no surprise given that around half of sales inside Prime Central London are typically in cash. The market will also be supported by greater levels of affluence, the relatively weak pound (depending on your timing) and the fact overseas travel is returning to pre-Covid levels.’
An evolving tax landscape
Prime Central London property is expected to remain attractive to foreign purchasers, in spite of changes over the years to SDLT, which have included:
The introduction of a surcharge of 2% for non-UK resident purchasers completing on purchases from 1 April 2021.
A surcharge of 3% introduced in April 2016 for purchasers who already owned a residential property anywhere in the world (and were not replacing their main residence) at the time of completion.
This means that SDLT rates for individual purchasers can now be as high as 17%.
There have also been indications that an incoming Labour government may further penalise foreign buyers with:
An additional increase in non-resident SDLT and/or
A prohibition from overseas buyers purchasing certain new build apartments in the first six months of marketing.
It remains to be seen what effect this would have on market conditions.
Particular interest from the US
In terms of the international marketplace, Knight Frank report continued appetite from “across the pond” and Hugh observes that
‘interest is coming from both the East and West Coast of the US, specifically the key wealth hubs including LA, NYC and Miami.’
Whilst many US buyers are relocating domestically to Miami to avoid the high New York and California property taxes, New York is having a resurgence in interest.
Jason Mansfield of Knight Frank comments:
‘While we sell property across the whole of the US, the bulk of our clients are looking at New York City at present. Against a backdrop of economic uncertainty and volatility in several asset classes, New York’s steady price growth, rising rents and low purchase costs are supporting demand. Manhattan’s luxury market is on a firm footing. While the S&P 500 fell 19% in 2022, and estimates suggest crypto plummeted 50%, luxury homes in New York registered 2.7% average growth, despite the Federal Reserve embarking on its fastest pace of rate hikes since the 1980s.’
Comparatively, the UK still remains attractive due to its lower holding costs, the current low exchange rate, a great education system and other niche factors. We are, for example, seeing instructions from US clients with an interest in British history, acquiring diverse properties from listed country estates to apartments in very high-end Central London conversions where the historical importance of the property is a unique draw. These attractions are however increasingly set against concerns over high borrowing costs both for owner occupiers and those with investment properties, particularly as these rising costs cannot be offset against income tax.
UK-US cross border issues
Against this backdrop it is important to draw attention to the specific US-UK cross border issues that may arise from US connected persons owning UK property. It is essential to incorporate these UK assets into an individual or family’s wider tax, estate and wealth plans. We explain some of the key crossborder issues at play and reveal the planning options available to protect against these risks.
Disclaimer
This article reflects the law as of 20 July 2021. The circumstances of each case vary and this note should not be relied upon in place of specific legal advice.
When acquiring UK property, US purchasers should seek advice on the broader tax and legal implications. In this report, Forsters’ partners along with specialists in the industry, share their insights on the current UK market for US buyers and how best to navigate the specific risks for US-connected clients.
The purchase or sale of a high value home requires expert legal advice to manage the complexities involved. Our lawyers are dedicated to sharing their knowledge to enable you to navigate the legal practicalities of buying and selling high value assets. We will support you through every stage of the process, and with the largest dedicated Residential Property team in London, we have the strength to do this. Visit our Hub to learn more.
