WIREDGOV

The Chancellor of the Exchequer, Rachel Reeves MP, has delivered the 2025 Budget, which set out the Treasury’s plan of action for the coming year.

Among those announcements made recently in the House of Commons, according to the Chancellor’s Budget, the rate of income tax levied on property income will increase by two percentage points from April 2027.

Responding to the Budget, our Chief Executive Ben Beadle, recently said:

“Despite claims of tackling cost of living pressures, the Government is pursuing a policy that the Office Budget Responsibility has made clear will drive up rents.

“Almost one million new homes to rent are needed by 2031. But this Budget will clobber tenants with higher costs while doing nothing to improve access to the homes people need.”  

Notes:

• Last year the then head of the Institute for Fiscal Studies, Paul Johnson, noted that: “The more harshly that landlords are taxed, the higher rents will be. One of the reasons that private rents have risen so much is that government policy has substantially increased tax payable by private landlords.”  
• Savills forecasts that up to one million new homes for private rent will be needed by 2031 to meet growing demand. 
• Further information about the NRLA can be found at www.nrla.org.uk.  It posts on X @NRLAssociation. 
• The NRLA’s press office can be contacted by emailing press@nrla.org.uk or by calling 0300 131 6363.