Spring Statement 2022 – Landlord Reactions

Spring Statement 2022 – Landlord Reactions

13:36 PM, 23rd March 2022, About 2 months ago 5

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Chancellor Rishi Sunak has just presented his Spring Statement to Parliament, focussing on the cost of living crisis and its exacerbation by immediately falling into another crisis, supporting global economic sanctions against the war in Ukraine.

The Chancellor’s policies to relieve the cost of global inflation to households included:

The threshold for paying National Insurance will increase by £3,000 from July to parity with the basic rate of income tax at £12,570. This is a cut to NIC worth, £330 to employees to offset the increase in NIC to take place in April.

Fuel duty will be cut by 5p per litre as of 6:00pm tonight until March 2023

For the next five years, there will be no VAT applied to energy-saving materials including solar panels, heat pumps and insulation for five years as part of the UK’s energy policy and to help reduce bills

The biggest headline and supposed rabbit out of the hat was a pledge to cut the basic rate of income tax will from 20% to 19% before the end of this parliament in 2024.

The question is, will this be enough to help tenants and landlords cover the bills as inflation looks set to top 8% this year?



Comments

by Seething Landlord

20:45 PM, 23rd March 2022, About 2 months ago

What struck me was the response from the shadow chancellor, since echoed by opposition spokesmen at every opportunity, complaining that landlords were not mentioned and how unfair it is that they are taxed at a lower rate than working people.

Should Labour win the next election, watch out, we ain't seen nothing yet.

by steve p

2:02 AM, 24th March 2022, About 2 months ago

Reply to the comment left by Seething Landlord at 23/03/2022 - 20:45
Yeah I noticed that also.. Although I am not sure how they would have us pay national insurance.. Would this mean if a tenants stopped paying we could claim unemployment benefits? I guess they would come up with a new tax, however any new tax would be just like VAT, landlords would pass it straight on to tenants.. Unless they bought in at the same time rent controls however I think an extra taxation and rent controls would see landlords leave in droves..

by Mick Roberts

5:59 AM, 24th March 2022, About 2 months ago

U call for more tax on Buy to Let landlords @RachelReevesMP . Do u not think @allthings_UC tenants are paying enough already? I'm biggest Benefit Landlord Nottm. Many been with me 20 years paying £500pm when neighbours r £800. My tenants will then be paying £800pm & less supply

https://twitter.com/RachelReevesMP/status/1506667756434907139?s=20&t=YldRuATWR_hO788foGwB0A

by Neil Patterson

11:43 AM, 24th March 2022, About 2 months ago

RESPONDING to the Chancellor’s Spring Statement, Ben Beadle, Chief Executive of the National Residential Landlords Association said:

“We welcome the decision to scrap VAT on energy efficiency measures. However, it remains disappointing that the Government has again failed to explain what will be required of the rental sector when it comes to energy improvements. The sector needs clarity as a matter of urgency.

“More broadly, as renters, along with all others, face a cost-of-living crisis, the Chancellor should have reversed his decision to freeze housing benefit rates. Without this, those relying on the benefit will find it increasingly difficult to afford their rents.”

by NEIL T

16:07 PM, 26th March 2022, About 2 months ago

Another sensible Spring statement. Gone are the days when I dreaded this kind of thing, when labour were in power.
As Seething Landlord said ' Should Labour win the next election, watch out, we ain't seen nothing yet.'


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