For sale, the tax haven bridge where owner can earn £2000 a week in tolls

By
Daily Mail Reporter

Last updated at 11:57 AM on 22nd May 2011

It is the Monaco of the West Midlands – a private toll bridge which is spared paying income tax on its profits.

Motorists spend up to £2,000 per week crossing the 18th century bridge at Whitney-on-Wye, between Hereford and Hay-on-Wye.

And following the death of its owner, the Herefordshire tax haven has now been placed on the market for a starting price of £450,000.

Tax haven: Owners of the Whitney-on-Wye toll bridge do not have to pay income or inheritance tax on the property

A stretch of river bank and a grade II-listed cottage with a sitting tenant, the toll keeper, are included in the price.

It also acts as an inheritance tax shelter, so it can be passed on to heirs without falling prey to a levy.

The 1779-built bridge, which currently costs 80p to cross, was initially funded privately. In return, an act of parliament granted it tax exemption.

Prospective owners will also forfeit having to pay stamp duty, business rates and capital gains tax. But they will have to pay for its maintenance and the toll keeper’s wages.

Humberts Leisure is marketing the property and hopes it will attract investors interested in its unique tax status.

Brian Howard, former chairman of the Howard Group, the property company, bought the bridge for £300,000 in 2002.

He introduced an automatic barrier to replace the booth where the bridge keeper would sit and the ‘honesty box’ used at night.

Mr Howard died last year and the bridge is now being sold as part of his estate by his son-in-law, Nicholas Bewes, managing director of the company.

Mr Bewes, 44, told The Sunday Times: ‘It has been a very good investment for the family.’

Jennie Harrison, whose husband Mike regularly drives his 1932 Bentley sports coupé across the bridge, added: ‘It is a pleasant way of driving into Hay. You have to weigh up the toll but it is a way to save petrol.’

A stone bridge which crosses the River Thames, at Swinford in Oxfordshire, sold for more than £1 million in 2009. It generates an estimated £190,000 each year from the four million travellers who use it.

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I would imagine the capital invested in this would pay just as good interest as some closed interest accounts. Actually, if you could buy it for 450K and you were looking for eg a 4 bed house, then even if this was a much smaller property as is likley, it would give you an excellent income

seems like a bargin to me – providing you have the money to pay for it

I went over this about 20 years ago on my motorbike! I believe I was charged 10p if I remember correctly! Not a good investment! It would take years to go into profit and the owner has to pay for repairs and maintenance!

At 450K, earning 104K per year, this investment will pay back in under five years. Better than your average property investment. Why doesn’t the government buy it, they can make a good investment for a change.

Some pictures of the cottage, please!

Absolutely beautiful, I’d love to live there! 🙂

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