Chancellor Rachel Reeves crying a warning for landlords: “she knows exactly what’s coming”

When Chancellor Rachel Reeves was filmed crying during Prime Minister’s Questions on Wednesday as Keir Starmer declined to guarantee she would remain in place until the election, the property world took notice. Whilst she raced afterwards to brush it off as “unrelated personal matters,” it indicated a visible crack in a government under immense financial pressure. The tears told us exactly what we feared: Rachel Reeves is breaking, and she’s going to give it everything she’s got to fight for her job.

So why would this cause landlords to stop in their tracks? The answer is simple. Chancellor Rachel Reeves is facing mounting calls from Labour MPs to impose new taxes on landlords to address a looming budget deficit. The options being considered are devastating: National Insurance on rental income, potentially adding 12% to your tax bill overnight, separate tax bands for rental property earnings meaning higher rates specifically targeting landlords, VAT on residential lettings adding a 20% charge that would cripple rental yields, and further Capital Gains Tax increases already being heavily rumoured.

Landlords aren’t just a small piece of her strategy to rinse the country for all the money its got, we’re public enemy number one. We’re the primary target.

What’s worse, the government is only just getting started. Mission “claw back” has already seen us experience tax hikes, and increase of mortgage rates, refurb and EPC costs thanks to the “Decent Homes Standard” and the consequences of the looming Renters’ Rights Bill amongst others. The result is tens of thousands in costs per property. The numbers just don’t make sense any more. Newer landlords might be soldiering on with fresh slates, but older landlords like you or I are finding it increasingly impossible to stay in the game.

So what on Earth are we meant to do? The clue lies in the stats. A Savills study indicated that a record 26% of landlords sold at least one property in 2024 and this trend is carrying on into 2025. Landlord Action reported that “in the last 18 months we have dealt with more Section 21 than Section 8 cases because landlords are selling.”

The professionals can see what’s coming. While amateur landlords hold on hoping for better times, experienced investors are taking profits and moving their money elsewhere. And right now they still can. In the current market you can still get out for a decent price. At Landlord Sales Agency, the UK’s top portfolio exit strategy company, we’re able to get you out at 85% market value in less than 28 days. In some cases we’re able to find you a buyer within an hour of listing thanks to our huge network of private buyers and funds. Before you think: I can’t accept 85%, think again, because the numbers are staggering when you look at them properly. That £120,000 freehold house in Manchester yielding £700 monthly? You’re looking at roughly £4,000 annual profit after all expenses. But sell it for £102,000 in cash, and you’ve just banked 25 years of rental profit in a single transaction. That’s what we’re able to do for you. No drama, no issues, just a service run by landlords for landlords to get us out while we still can.

It’s a smart choice. A government under this level of pressure doesn’t make for measured, business-friendly decisions, it makes desperate ones. And desperate governments tax landlords. As the saying goes: it’s time to “quit while you’re ahead.” And we won’t be ahead for long.

So if you’re a landlord reading this thinking: okay but surely I can wait a little longer? Are landlords really selling no matter what situation they’re in?

The answer is yes. They know it’s only going to get tougher, the question is whether you’ll act before or after everyone else reaches the same conclusion.

Share This Article