Following a meeting with French President, Nicolas Sarkozy, and budget minister François Baroin, a group of senators have successfully lobbied for a controversial new tax on second homes to be scrapped.  The new tax, approved by French Parliament just last week, meant that homes only used for a few weeks a year would have been liable for an additional tax, calculated at 20 per cent of the theoretical annual rent that could be gained from the property.  The new tax was due to come into effect on 1 January 2012 and would have affected an estimated 360,000 families with second homes in France, around half of them British.

David King, Winkworth International Director, comments:

“We are delighted that the French government’s plans for taxation on second homes has been abandoned following representation by local MPs and Mayors who amongst other things, claim that the British have been major contributors to property rejuvenation in the French countryside.  This is a great relief for all nationalities either owning or considering purchase of property in France and Winkworth now expect an increase in demand especially since the value of the Euro now appears to be falling”.