Property expert slams tax changes for driving landlords out of the market

Tax crackdown on landlords is making Britain’s housing crisis worse, says property expert.

Guy Gittins, chief executive of letting agents Foxtons, told The Telegraph that recent tax changes such as Section 24 have discouraged buy-to-let landlords from entering the market.

In the March budget this year, former Chancellor Jeremy Hunt scrapped the multiple dwellings relief that used to give buyers a discount on stamp duty when buying more than one property in a single deal.

Encourage people back into the private rented sector

Mr Gittins says the lack of government incentives has pushed private landlords out of the market, leaving fewer rental properties available.

He also says that the previous Conservative government made things unappealing and unprofitable for new landlords

He told The Telegraph: “It needs to be taken very seriously. We need anything that will encourage people back into the private rented sector.

“Ultimately, the UK needs tens of thousands, if not hundreds of thousands, of extra rental [homes] to manage the price growth and make sure it is tempered as much as possible in the medium term.”

Mr Gittins also says many landlords are worried about new policy changes under a Labour government such as abolishing Section 21.

Ed Miliband has also called for landlords to reach EPC C targets by 2030.

Being a private landlord is no longer financially viable

The news comes after the chief executive of Zoopla, Charlie Bryant, told the Telegraph that being a private landlord is no longer financially viable – and corporate landlords will move into the market.

Mr Bryant blames the landlord exodus on rising taxes, high mortgage rates, and more regulations.

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