13:00 PM, 13th May 2019, About 4 years ago 6
The Government has got it wrong! Nothing unusual in that! However, it will cost Conservative MPs votes. We have gone in three years from a situation of many landlords wishing to expand to many landlords wishing to sell their investments!
Who would have thought Andrew Bowles, leader of Swale Council in Kent for 15 years would lose his seat on 2nd May, 2019? He was a victim of the chaos at Westminster!
The only issue at the next General Election will be Housing!
It is the Private Sector Landlord (PSL) who collectively holds that balance of power! Make no mistake the PSL is so strong that many Conservative MPs will lose their seat! A remarkable percentage of the Electorate own an Investment House! The Tory Government is bound to experience that backfire!
It is not only the landlords that will be voting against the Tory Candidates. Those would be tenants who have no home are also going to be joining the PSLs in voting against the Government! They want a roof over their heads! It is only the PSL that can provide it realistically!
It would seem that the Mandarins at Whitehall have learnt absolutely nothing from the 2017 General Election. Let me give you a little tip boys, you got it wrong!
The various landlord’s associations have all expressed the view that the punitive tax regime imposed on PSL will have a devastating impact on the supply of houses to rent.
HMG thinking is that they will force PSLs to transfer their investment into a company. Well it is not going to happen is it?
The average PSL owns one house! He will not be putting it into a Company!
The theory is that when the “owner” wishes to retire the shares will be transferred to another person and the company will continue to own the house thus keeping it in perpetual availability for renting. The landlord will pay only 10% and not 28% Capital Gains Tax.
Hold on! Hold on! Who is going to buy these shares? I suggest the shares will trade at 18% down on the market value of the house! Who on earth advised HMG, because it is not very good advice. We have gone in term of housing supply from the seven years of good harvest to the seven years of famine!
There is a current “famine” in terms of housing supply. The only way to resolve the housing shortage is to build more houses and quickly! There is no other answer!
However, I focus on the Private Sector Landlord. If HMG is serious about restoring the number of PSLs then it must restore the tax regime. If not, then I suggest James Brokenshire considers the impact the Landlord Vote will have on any Tory Seat at the next General Election. It is not the function of the PSL to provide accommodation it is the function of Local Government!
I look to the Election losses in Ashford where I have most of my houses! The Tory majority has been greatly reduced! I look at the Kent Live article of 6th April, 2019 and wonder how many of those tenants voted for a non-Tory Candidate!
Those pictures look like portacabins. It is no way to house people, particularly with children, but what can the Council do if it has no accommodation available? These people all have a vote! PSL all have a vote which they will exercise in due course. Ultimately, I cannot see the present Government remaining in power for another term, UNLESS they use some common sense which is in short supply at present!
Folkestone and Hythe Council are no longer a Tory Council. There is a message here for MPs. If you upset the Landlord Vote do not be surprised if you lose your seat!