Private landlords on tenterhooks bracing for yet another attack?

Private landlords on tenterhooks bracing for yet another attack?

10:31 AM, 9th February 2021, About 8 months ago 42

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Private landlords are on tenterhooks once more prior to the Budget, bracing ourselves for yet another attack. The rumour is that we are to be slammed with a massive increase in Capital Gains Tax. I have explained why this is so wrong on many levels and made some alternative suggestions in an article I was asked to write for a political website here. I would appreciate it if as many landlords as possible read it and gave it a positive rating (this may help me to get more similar articles published in the future).

Will Rishi dish landlords in his Budget — yet again? | TheArticle

In such articles, there is a word limit, so I couldn’t go into everything that has been done against us in recent years, so feel free to add anything about any of this here. For example, there is the big issue of Energy Performance Certificates, which I didn’t have space to mention. The idea that countless millions of homes can get a C rating on the EPCs by 2025 is a joke. The Government doesn’t seem to have a clue about the older buildings in the PRS and the huge amount of money that would be needed – and even then, it might be impossible to bring them up to a C.

I also could have mentioned HMO licences and the cost of them also and how the schemes are one big racket. Also, there are the Rent Repayment Orders – a landlord could rent out a beautiful house, at a cheap rate and with all health and safety measures at an excellent standard – but if they didn’t know they needed a piece of paper from the council and didn’t pay the £800 or so fee – they face paying back a year’s worth of rent on top of a £30,000 fine – and that is per property.

These punitive policies are a disgrace for a so-called Conservative Government. They are more befitting of a Socialist/Communist state.

We need the Government to have a positive vision for the sector, with incentives and fair taxes. That is how a Conservative Government should be behaving. Please pass this on to your MP, to the Treasury or to whomever you want. It all helps. Although of course, what we really need is an organisation which will take on these fights for landlords, preferably in the legal arena.



Comments

by joss URCH

14:44 PM, 9th February 2021, About 8 months ago

Spot on. I feel like we are trapped with taxes and bureaucracy the Tories squeezing us from every angle I can't wait to sell up just not sure how yet.

by Luke P

14:54 PM, 9th February 2021, About 8 months ago

Reply to the comment left by LaLo at 09/02/2021 - 14:44
They’re completely disproportionate to the ‘crime’…justice has long gone, which is the beginning of the breakdown of the entire system. No wonder we’re in a pickle as a nation.

by DP

14:56 PM, 9th February 2021, About 8 months ago

Cash cows, golden geese more like sitting ducks, its time we stood up unanimously and did something to be heard. Property is long-term investment and renting it out is a job and subject to a lot of legislation which most landlords (hate that title by the way as I don't feel like a lord doing this more like a pawn in the governments tax games) have to work hard to keep up with and try very hard to abide by and ensure that the 'job' is done effectively and well on behalf of not only the powers that be but their tenants. The government should realise this and show us some encouragement not a perpetual pelting. And if we can't endure it any longer well we can always cough up a load of Capital Gains Tax and swell the coffers even further. It should be that if you sell a property and invest the procedes into another property by reducing the mortgage that it should not be treated as a taxable sale in those circumstances. It would appear that the Company route is gaining. momentum but it might not suit everyone and its also something which we have been left to find a way through rather than be given an initiative following the Section 24 outrage. It seems that that the government know that we have very few choices and now we can try to pick our way through the looming EPC situation. Anyone got a Chrystal ball? I fancy hurling it at someone Grrrrh

by silversurfer2017

15:08 PM, 9th February 2021, About 8 months ago

Reply to the comment left by Seething Landlord at 09/02/2021 - 12:29
I can't see this happening on private residences. Even a move to another part of the country at the same property prices costs a lot of money at the moment with a considerable SDLT to pay. Factor in as well 20% CGT on a property that someone has lived in for say 15 or 20 years and only the very rich could afford to move. Mobility of labour would be badly affected.
IMO I don't see huge increases in CGT for standard rate tax payers. The new property rates could be 20%, 40% and 45% to mirror income tax rates. However even for a standard rate tax payers some of their gain could be pushed into the new 40% rate rather than the old higher 28% rate of CGT

by JB

16:32 PM, 9th February 2021, About 8 months ago

As always, bashing the landlord bashes the tenant and finally the council tax payer as the homeless queue up at the council needing housing in expensive temproary accommodation.

by Coastal

16:39 PM, 9th February 2021, About 8 months ago

Here we go again....more potential "out of touch" nonsense in the pipeline! Just as the S24 "moving of goal posts" policy demonstrated, it's all about perceived future votes, rather than sound economics. The supporting of holiday lets, at the expense of long-term family housing - further reinforces the fact that the Conservatives clearly could not be trusted with their "making work and business pay" past rhetoric. Time to exit the BTL business I think....!

by Seething Landlord

17:07 PM, 9th February 2021, About 8 months ago

Reply to the comment left by at 09/02/2021 - 15:08
I agree with you. I was just interested to know why Ros thought it was a good idea as it is something that she advocates in her article in the Article.

by TrevL

18:08 PM, 9th February 2021, About 8 months ago

One landlord = several/many tennants. Tennants traditionally vote labour, the Conservatives know this. Therefore they need to ensure a certain level of home ownership. Too many tennants = labour government.

What with the tax rises required for COVID recovery, I'm still suprised there are so many people complaining on this thread. The governement will keep tightening the screws until there a significant shift in favour of OO buyers. Unless you have significant margin in your portfolio it would be sensible to move to other asset classes.

by LaLo

18:10 PM, 9th February 2021, About 8 months ago

Buy a hotel - quick!

by Borrieboy

18:45 PM, 9th February 2021, About 8 months ago

Were CGT rates to rocket, the result would likely as not be a stagnation in property sales, thus people hanging on rather than baling out. At my time of life, I'd want to bale out of 2 of my 3 BTLs but not if my tax bill (which would be a stinger under current CGT now) doubles... Might as well hang on.


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