A rumoured potential increase in capital gains tax on the sale of rental properties is now the single biggest concern for private landlords, according to a fresh survey.
In a poll of 882 landlords, 83% cited a possible rise in CGT as their main worry.
Some 61%% of respondents said they are “very concerned”, while 22% revealed they are ‘slightly concerned’. This comes amid unease around the cumulative impact of government policies.
The study also revealed that 53% respondents are “very concerned” about the introduction of the Renters’ Rights Bill, with 35% “slightly concerned”.
Some 73% of those quizzed expressed concern about the prospect of having to meet an Energy Performance Certificate (EPC) ‘C’ equivalent for rental properties with existing tenancies by 2030.
A similar 73% feel the same way about the extension of the requirement to new tenancies from 2028 onwards.
The research, produced by Pegasus Insight on behalf of the National Residential Landlords Association (NRLA), reflects a broader pattern of anxiety amongst investors, consistent with previous research showing declining confidence in the sector’s future.
Ben Beadle, chief executive of the NRLA, said: “These figures lay bare the fragility of investor confidence, with many feeling anxious about the overall direction of government policy as regards tax, rental reform and energy efficiency.
“We have a tax system which disincentivises investment, and a punitive capital gains tax hike on the sale of rental properties is likely to exacerbate the situation.
“Fundamentally these findings show that the government must rethink its approach and urgently adopt pro-growth measures to reassure investors and encourage them to do what they do best – deliver the high quality private rented accommodation that tenants need.”
Don’t be ridic, the whole manifesto is based on getting britain building and buying again. The fact most FTBs can’t afford to buy at the moment and need rental property to get through the permanent cost of living crisis is irrelevant. Exactly who is going to buy all of this new housing? Hang on, isn’t there a caveat in some of the tax regs regarding purchases over 10 properties? That’s pretty handy for a small minority with significant passive income, wonder how that happened.
The big squeeze is only going to go up the salary brackets over time until there is the ultra-rich and everyone else. Assets are being hoovered up, you can see it in property prices, stocks, shares, gold etc…
None of the current parties have a clue about how to stop this happening except the one thing they are all too scared to try, because it means taxing those who shall not be named. Whoever you vote for next, choose the one which is tax brave as it is the only way things will really change (including the endless housing crisis).
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