Landlords say government’s EPC C target by 2030 is ‘impossible’
2 years ago | 42 comments
Call to save the PRS by scrapping landlord levies
11:49 AM, 30th August 2024, 2 years ago
19
The private rented sector (PRS) is in dire straits, with rocketing tenant demand and a fall in the number of homes to rent, Ben Beadle says.
In an article for The Times, the chief executive of the National Residential Landlords Association (NRLA), argued that tax increases over the past 14 years have made it more difficult for tenants to access the homes they need.
The rise in demand and fall in supply is also leading to significant rent rises.
Mr Beadle points to a Capital Economics study suggesting that that eliminating the 3% stamp duty surcharge on second homes could unleash a wave of new rental properties, with nearly 900,000 additional homes entering the market nationwide.
This would not only alleviate the housing shortage but also inject £10 billion into the Treasury’s coffers through increased income and corporation tax revenues.
Potential capital gains tax increases
On Twitter, Mr Beadle wrote: “My article in The Times online highlights the pressing issue of potential capital gains tax increases and their impact on #tenants.
“Tax hikes over the past 14 years have hindered access to homes, and taxing our way out won’t solve the problem.
“We need a thriving #privaterentedsector and investment in all housing types to address the imbalance between supply and demand, which drives up rents and limits renters’ purchasing power.”
He added: “The lowest number of first-time buyers for a decade recorded in 2023 (290k) underscores the urgency for change.”
‘Boost investor confidence’
Mr Beadle continued: “Rather than stifling investment, let’s foster an environment that boosts investor confidence.
“Instead of banning bidding wars, focus on increasing supply to prevent them.
“And, let’s support responsible #landlords and empower #renters to hold bad housing providers accountable.
“Bold and pragmatic changes in taxation and housing supply are crucial to avoid harming those least able to bear the burden.”
George Osborne’s attempt to ‘level the playing field’
In his article, Mr Beadle spelled out Chancellor George Osborne’s attempt to ‘level the playing field’ between homeowners and renters as backfiring.
His policy, which favoured homeowners by imposing higher taxes on rental properties, has only exacerbated the housing crisis.
Mr Beadle says this was a classic case of unintended consequences which made it more expensive for landlords to operate.
Mr Osborne also inadvertently discouraged investment in the PRS which also, in turn, led to a decline in the supply of rental properties.
Tenants then saw rents rise and they struggled to find affordable housing.
Tags:
ben beadle, housing crisis, Landlord Taxation, NRLA, Private Rental Sector, PRS, renters, renters rights, UK Housing
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Member Since October 2013 - Comments: 1630 - Articles: 3
4:30 PM, 30th August 2024, About 2 years ago
Reply to the comment left by TheMaluka at 30/08/2024 – 15:27
We pay tax on rental income, yet we are not allowed to use rental income as pensionable salary. If NI was levied, it really would be taxable income, in which case, we could put all our rental income into our pension [if it is surplus], and pay no tax and NI at all.
Member Since May 2015 - Comments: 2187 - Articles: 2
5:02 PM, 30th August 2024, About 2 years ago
Reply to the comment left by NewYorkie at 30/08/2024 – 16:30
I like your logic.
Member Since May 2014 - Comments: 616
7:01 PM, 30th August 2024, About 2 years ago
Reply to the comment left by TheMaluka at 30/08/2024 – 15:27
I also heard that they may be looking at getting rid of the state pension.
I assumed National insurance was our contribution to our state pension so if we are landlords over state pension age do we still have to pay National insurance and as you say how can they regard these as investments and demand we pay national insurance.
Member Since May 2024 - Comments: 16
10:18 AM, 31st August 2024, About 2 years ago
Reply to the comment left by Ivor Tennant at 30/08/2024 – 09:55
Totally agree. The problem is not stamp duty or changes to eviction rules but the way that we are taxed as businesses and yet are not allowed our expenses and have unfair treatment for capital gains, pensions and inheritance. Why go into renting when you can’t get out the other end without paying through the nose?
Once smaller landlords have gone and the market is in the hands of investment companies then tenants won’t know what hit them!
Member Since October 2013 - Comments: 1630 - Articles: 3
11:33 AM, 31st August 2024, About 2 years ago
Reply to the comment left by Richard at 31/08/2024 – 10:18
I think we’ll see an increasing number of insurers and pension funds investing in BTR as they divest their ground rents holdings.
Member Since June 2023 - Comments: 27
2:43 PM, 31st August 2024, About 2 years ago
Lives have been ruined already by PPI and diesel cars, and now we have BTL loans under Reeves. Where is the FCA?
Member Since October 2013 - Comments: 1630 - Articles: 3
2:46 PM, 31st August 2024, About 2 years ago
I’ve never heard about anyone whose life has been ruined by PPI or a diesel car.
Member Since February 2018 - Comments: 627
9:27 PM, 31st August 2024, About 2 years ago
Reply to the comment left by Frank Jennings at 30/08/2024 – 10:09
That deserves a better response, unfortunately too fe have ‘got it’ that we, not just landlords but everyone, are at war with ‘our’ governments, academia, finance, and industry;by ‘build back better’, they mean destroy everything First.
Member Since September 2021 - Comments: 213
7:27 PM, 4th September 2024, About 2 years ago
Reply to the comment left by KAREN SIMMONS at 30/08/2024 – 15:02
If the NI levy is 8%, does that mean we will be taxed at 53%?