Home  News  

Category: News

Reading Time: 2 Mins Read

Chancellor Philip Hammond’s Autumn Budget has done little to help ‘generation rent’, according to the lettings industry, with few new ideas for increasing the supply of homes.

Speaking to The Negotiator, David Smith, Policy Director for the Residential Landlords’ Association, said: “Despite being given innovative suggestions to protect tenants in their homes, encourage sale to tenants, and improve energy efficiency, we got a damp squib with little more than promises of further consultations.”

The Chancellor also announced the reform of capital gains tax (CGT) lettings relief for landlords. From April 2020 people who let out their former home will no longer be eligible for up to £40,000 in lettings relief on the CGT they pay when they sell the property, unless held in shared occupancy with the tenant.

Meera Chindooroy, Policy and Public Affairs Manager at the National Landlords Association said: “It’s disappointing to see landlords being targeted again with the reduction in lettings relief on CGT, particularly when there was an opportunity to incentivise landlords through CGT relief.

“However, we’re glad the Chancellor didn’t seek to increase stamp duty or further reduce income tax relief for private landlords.”

Other budget announcements which could impact on landlords included a rise in the personal allowance threshold for income tax to £12,500 and a rise in the higher rate income tax threshold to £50,000.

Moves were also announced to smooth the controversial introduction of Universal Credit, including an extra £1bn to help welfare claimants transfer to the new consolidated benefit.

Meera Chindooroy said: “We will also be watching with interest to see what package of support the Government provides those receiving Universal Credit. Any help that can be provided is a positive, as this has the potential to go some way to reducing the amount of rent arrears Universal Credit tenants find themselves in.”

Read more about this story in The Negotiator

Neil Jennings

Neil is the Operations Director at Assetgrove Lettings, London's Leading Rent Guarantee Company, providing Landlords with no voids, property maintenance, fee-free property management and stress-free service.

Related Post

Landlords “doing all they can” for tenants affected by Covid
Updates: 2 Mins Read
Landlords “doing all they can” for tenants affected by Covid

Claims that the end of the evictions ban, on 23 August, will mean a big increase in tenants losing their homes have been disputed by

How to do tenant viewings in the post-lockdown era
Updates: 2 Mins Read
How to do tenant viewings in the post-lockdown era

As letting agencies get back to business following seven weeks of covid-19 lockdown, the government has issued advice for landlords conducting viewings while observing social

Call for private sector rent freeze in the face of recession
Updates: 2 Mins Read
Call for private sector rent freeze in the face of recession

A think tank is calling on the government to introduce an immediate rent freeze to protect more than a million renters at risk of losing