Landlords call for government tax relief u-turn

  • 06/07/2017
  • 0
Landlords call for government tax relief u-turn
Landlords in the UK are calling on the government to reverse changes to tax relief on buy-to-let mortgage interest, as over 10% admit they still don’t understand the personal implications of the changes.

According to Paragon Mortgages’ latest PRS Trends Report for Q2 2017, 88% of landlords now understand how the changes will impact them. Reversing these changes ranked as the number one action landlords would like the government to take following last month’s general election.

John Heron, managing director, Paragon Mortgages, said: “Having taken active steps in preparing for a difficult period of transition as the tax relief changes continue to be phased in, landlords are now facing up to the challenge ahead.

“Higher tax charges for landlords have combined with a general increase in uncertainty to drive confidence levels down. However, whilst there are signs of lower demand it would appear that property yields are being maintained and that void periods are close to historic lows. This would suggest that despite the negativity around the market that the PRS continues to perform well.”

Rob Bence (pictured), co-founder of The Property Hub, a community of property investors and landlords said: “There’s no denying the tax relief changes have rocked the industry and landlords have had to rethink their strategies – and restructure their portfolios. However, I think it’s worrying if landlords are still holding out hope for a reversal of the changes instead of concentrating on managing them and remaining successful in this new landscape.

“While the government may be prone to u-turns at the moment I don’t think this will be one of them. I think a period of stability is the best we can hope for. Let’s hope landlords are left out of policy changes for some time.”

There are 0 Comment(s)

You may also be interested in


Keep up-to-date with all the breaking bridging and short-term lending news and analysis, from regulatory changes to product innovation and inside market knowledge. Take a look at our broker and lender case studies showing short-term finance in practice.


Find all the news, opinion and analysis for property finance brokers specialising in commercial and semi-commercial mortgages, alternative and development finance for commercial investments in residential projects.

Second charge

Stay up-to-date with the latest news, analysis and opinion on the secured loan market as it evolves into a mainstream finance option following European regulation on 21 March 2016.

Complex buy-to-let

Whether it’s a complicated asset or a complex customer, you’ll find out all the breaking buy-to-let news in this section. From limited companies to portfolio landlords, student lets to a House in Multiple Occupation, we’ve got all bases covered with our up-to-the-minute news, analysis and opinion.

Mortgage Solutions

Find all the breaking news, analysis and industry comment on Specialist Lending Solutions' sister site, Mortgage Solutions

Read previous post:
John Goodall, Landbay
Rental growth slows led by negative London performance

Average rental growth has slowed to a third of the pace it was in 2016, according to the latest Landbay...