Landlords want tax breaks from Budget

The rent recovery firm wants George Osbourne to introduce new tax measures for landlords which it states will stimulate growth in the private rented sector.

Graham Kinnear, managing director at Landlord Assist, said: “We feel that housing is key to the recovery because there is a strong argument that every pound spent on housing leads to further money being spent in the wider economy.”

Kinnear said property ownership provides a feel-good factor and there is a clear need to increase the number of rental properties to meet the growing demand from tenants.

He added: “We believe the government should consider a suspension of stamp duty on property purchases for a defined period of time to support new investors and encourage landlords to bring empty properties back on to the rental market.”

He said that while it would inevitably mean a drop in stamp duty receipts for the government it would mean an increase in VAT receipts from increased solicitors’ fees, surveyors’ fees, letting agent and mortgage fees.

And he wants a reduction in the tax which landlords are liable to pay on the income that their properties generate arguing that this would instil more confidence in the sector and encourage landlords to keep their properties on the market for longer.

Stephen Parry, commercial director at Landlord Assist, said: “Positive action is required to ensure the recovery of the economy. We want to see more mortgage availability, fairer treatment of landlords by their banks and tax incentives to sustain and expand the buy-to-let market.

“It is clear that we are in the midst of a housing crisis and the Budget provides the government with a superb opportunity to try and improve the current situation.”