A new mansion tax mirroring plans in England is set to be introduced in Scotland by April 2028 for properties worth more than £1m.

The Scottish government has set out plans to introduce new council tax bands for high-value homes as part of its draft Budget for 2026/27.

Under the proposals, two additional council tax bands would apply to residential properties valued at more than £1m, with the changes due to come into force on April 1, 2028.

The measures were announced by Finance Secretary Shona Robison at Holyrood yesterday and form part of a wider Budget package.

The new levy on Scotland’s most expensive homes – primarily affecting residential properties in Edinburgh – is expected to impact fewer than 1% of Scottish households, according to Charlene Young, senior pensions and savings analyst at AJ Bell.

“Two new council tax bands will be introduced for properties worth more than £1m from 1 April 2028 using up to date values,” she said.

“Although this might appear tougher than the England and Wales mansion tax, it is unlikely to raise much in the way of extra revenue for Scottish councils and is more about the message and optics of moving to what the SNP views as a fairer system,” Young added.