NLA submits recommendations for Autumn Budget
Article Posted - 28th September 2018
Following the Budget date announcement, the National Landlords Association (NLA) has submitted their recommendations for consideration.
The recommendations cover two key areas: supporting investment and addressing disparity.
Meera Chindooroy, Policy and Public Affairs Manager at the NLA, says:
“We believe the Government needs to consider the implications of the policies they have introduced in recent years. Already we have seen landlords start to sell property, which only serves to limit the amount of choice available to renters and continue to make housing unaffordable.
“Landlords are running a business, but the Government refuses to acknowledge that and treat them appropriately. If they want landlords to continue to provide homes, and fill the gap in social housing, they need to properly incentivise landlords to remain in business.”
The NLA recommends that the Government:
a. embark on an immediate review of the removal of finance cost relief for private landlords
b. introduce a package of Capital Gains Tax reduction measures to encourage the sale of:
i. poorly performing investment properties
ii. properties where the proceeds of the sale will be entirely reinvested into the lettings business
iii. properties invested in, and utilised, for a period of more than 10 years
iv. properties that are eligible and suitable for sale to existing tenants.
c. introduce measures to facilitate the tax-efficient movement of a letting portfolio into a corporate structure
d. establish a Government-backed investment vehicle to allow the sale of properties into a managed fund
e. reintroduce the Landlords' Energy Saving Allowance (LESA), and establish a level sufficient to improve the tax efficiency of carrying out relevant works
f. remove the Capital Gains Tax surcharge for property sales
g. introduce Capital Gains Tax tapering and business asset rollover relief for private residential property which is let
h. abolish the Stamp Duty Land Tax (SDLT) levy on additional property.
The NLA's full submission is available to read below.
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