Best Wishes from the team at College and County, Although our offices are closed to the public for the time being our staff team continue to be available working from home and continuing to provide the highest levels of service. Thank you to all our clients, Tenants and Contractors for adapting to use of email for general communication as much as possible; this helps us ensure that even with members of our teams working remotely any queries can be answered by the most suitable person. See 'Get in touch' tab for all contact numbers and email adresses. Stay Safe and do let us know should we be able to offer any further help.
Covid-19 Information Hide

This website uses cookies to ensure you get the best experience on our website Got it!

Autumn Budget impact on Landlords

Autumn Budget impact on Landlords

The autumn budget further underlines the government’s mission to reduce the number of properties in the private rented sector, and increase home ownership. The short-term measure of scrapping stamp duty for first time buyers will do little to stimulate activity as the real issue is the difficulty of saving a deposit for those who are paying such a high proportion of income in rent. It is clear that any notional saving in cost to first time buyers will simply result in price increases in the relevant value band as the supply/demand matrix re-balances.

Changes in indexation

The measure that will have more impact is the changes in indexation; from January 2018 this will be frozen, and many commentators consider this a precursor to it being scrapped altogether.

Genevieve Moore, of accountants Blick Rothenberg, said: “The proposed freezing of indexation allowance for companies is not unexpected and will have most impact on companies that own properties which they have owned for many years.


Although this is a proposal for freezing indexation allowance, businesses should be prepared for an eventual abolition of the relief in the future and plan accordingly.

This year the reduction of mortgage interest relief will start to bite, landlords can now claim relief on only 75% of interest payable. Next year this will drop to 50% and in 2019 it will be 25%. It is unlikely that the government will need to introduce the zero% in 2020 as by then all the vulnerable landlords (heavily geared with high loans to value) will have had to get out of the game. 

The announcement about indexation changes will impact those landlords who have transferred ownership of their portfolios into company structures.

At College and County, we still anticipate that there will be stamp duty concessions for institutions seeking to acquire portfolios from private landlords. I predict that there will be announcements along these lines within the next 12 months.