From April 2027, property income will be taxed under new standalone bands: 22% (basic), 42% (higher), 47% (additional). This is on top of energy performance certificate (EPC) tightening and the Renters’ Rights Act that for many landlords, the cumulative impact could be decisive, forcing portfolio reviews, sell-offs of older stock, and a surge in incorporation as investors seek tax efficiency.

Sector sentiment has already shifted, and these tax hikes are set to drive more amateur landlords out of the market. Others will respond by increasing rents, piling further pressure on tenants and affordability. Brokers must step in as trusted advisers, helping clients restructure portfolios, refinance, or explore specialist and limited-company buy-to-let solutions.

From April 2028, properties worth £2m+ will face an annual surcharge: £2m–£2.5m: £2,500, £2.5m–£3.5m: £3,500, £3.5m–£5m: £5,000, £5m+: £7,500. Expect behavioural shifts well before the implementation date, downsizing, avoiding extensions, and marketing homes below the £2m threshold. Brokers will need to help clients plan ahead, factoring these costs into long-term affordability and remortgage strategies.

No Stamp Duty holiday, no Help to Buy revival, and no new first-time buyer support. The government’s 1.5m new homes target remains in place but is looking increasingly ambitious to achieve in full.

This is a defining moment for brokers. Landlords and high-value homeowners will need clear, proactive advice to navigate tax changes and market uncertainty. Demand for specialist lending and incorporation support will rise sharply. Brokers who act early in helping clients restructure, refinance, and plan will cement their role as trusted advisers.

Despite headwinds, the mortgage market remains stable, inflation is cooling, and rate cuts are now more likely, which should bring welcome stability. This gives brokers a platform to help clients plan confidently and seize opportunities in a changing landscape.

“Although many of the speculated and – in some cases – hoped-for measures such as stamp duty reform were not announced at the Budget, what was announced will undoubtedly cause a notable shift in the housing market.

“Cohorts of homeowners and landlords alike will now need to reimagine their finances when it comes to the properties they own.

“One thing that property owners can be thankful for is there will be no sudden shocks, as these changes will not come into effect until 2027 at the earliest.

“Nonetheless, it is never too early for brokers to start engaging with their client base to prepare homeowners and landlords for how these changes will realistically impact them.”