What the Budget means for Landlords

The new Coalition Chancellor George Osborne delivered his Emergency Budget today. It was preceded by huge concern about likely changes to Capital Gains Tax which was of obvious concern to Landlords.

To read what the Emergency Budget means for Landlords and Property Owners we are pleased to link to Accountants Kingston Smith's Property Update published today.

This summary is specific to property and provides an excellent first look at the Budget proposals.

Click here to read the full Kingston Smith Property Update

Lettings News week commencing 13 June 2010

Cheer for landlords over shared property decision

Protect landlords from CGT rise, says ARLA

Don't renege on arrears promise

Shapps: Power for councils to manage shared homes in their area

Oxford professor backs CGT hike

NetRent.co.uk on the road - come and say hello

We're going to be at a number of Landlord Fairs and Expos over the coming months so if you would like to know more about NetRent.co.uk or just like to meet the team book your place now.

Calderdale Council Landlord Fair in Halifax at the Northbridge Leisure Centre on Wednesday 23rd June. Click here for more information.

Bradford Metropolitan District Council Landlord Fair Thursday 24th June at the Great Victoria Hotel. Click here for more information.

Somerset Landlord Expo at the Auction Centre, North Petherton, Somerset on Wednesday 14th July.
Click here for more information.

Ryedale Landlord Fair at the Malton Rugby Club on Wednesday 21 July. Click here for more information.

Bournemouth Landlord Conference on Friday 8th October at AFC Bournemouth. Click here for more information.

Lettings News week commencing 6 June 2010

Shapps promise to landlords: no more red tape

Landlords are breaking the law

Landlords hit by soaring rent arrears

Landlord regulation proposals scrapped

Plans to raise AST threshold definitely going ahead

Dismay: shared housing crackdown stalled

Landlord fined £40k over state of houses

Woman badly burnt in bedsit fire launches £2m legal case against landlord

'No more red tape' for private landlords

Housing Minister Grant Shapps has today (10th June 2010) promised England's one million landlords that the Government has no plans to introduce new regulations on the private rented sector.

Speaking at the first Communities and Local Government questions since the formation of the Coalition Government, the Minister confirmed that the legal framework already in place strikes the right balance between the rights and responsibilities between landlords and tenants.

Read the full story here: Shapps promises 'no more red tape' for private landlords

Housing Minister Dodges Capital Gains Tax Question

On 26th May we sent an email to Housing Minister Grant Shapps (pictured) about media speculation surrounding the forthcoming emergency budget (see the article below dated 26 May).

Today we received a reply, not from Mr Shapps, but from his office. This is the reply we received, in full:

Dear Mr Kearns,

Thank you for your email of 26 May addressed to the Rt Hon Grant Shapps MP.

As your ermail is about taxation, which is the policy remit of the Treasury, it has been passed to them to reply.

Yours sincerely

John Powell

Apart from the spelling mistakes the Minister and his office miss the point. We replied as follows:

John,

Thank you for your email. The reason for sending the email to Mr Shapps is that as Housing Minister I believe he needs to know how landlords are feeling about the media stories surrounding CGT. As I made clear in my email to Mr Shapps we work with a large number of landlords and agents throughout the UK and they are very concerned about what the media have said.

The NLA and RLA have made their members aware of the story but combined they only represent a relatively small percentage of the total landlord population. We do not believe that as an industry we have sufficient time to mount a considered and concerted reaction to present to the Treasury. We feel we need to ask Mr Shapps to make the point to the Treasury on behalf on over 1 million landlords who would be seriously penalised if the media stories are correct.

The previous Government mounted what was in effect a continuous attack on the private rented sector, it is vital that this new Government does not continue that attack and instead resolves to work with rather than against landlords. In addition to passing my email onto the Treasury can you please assure the landlords we work with that Mr Shapps will actively present their legitimate concerns to his colleagues who are preparing the emergency Budget?

I look forward to your response.

Kind regards,

Sean Kearns

Time is running out before the emergency Budget, we will continue to pressure Mr Shapps into action. Any further correspondence will be posted on this News Blog.

Lettings News week commencing 30 May 2010

Tax increase may force out landlords

Landlords 'not out of crisis yet'

Unlicensed shared house costs landlords £30,000

Top of student wishlists for housing

Half of large properties in London bought by foreigners

Belvoir letting agent killed by Cumbria gunman

Top Ten Buy to Let Mortgages

Lettings News week commencing 23 May 2010

Top Ten Buy to Let Mortgages

Landlords to gain from low stock

The position of tenants when a landlord defaults on their mortgage

Buy to let landlords 'unfairly hit by tax changes'

Lettings showing signs of recovery as rents increase

Is the party over for buy-to-let?

NLA Accreditation: First stage of national roll out launched

Scrapping of Hips has immediate impact

An open letter to Mr Grant Shapps, Minister for Housing and Local Government

Today we have sent this letter by email to Grant Shapps (pictured) the Minister for Housing and Local Government:

Mr Shapps,

NetRent.co.uk work with landlords and letting agents throughout the UK. We have received a considerable number of emails and telephone calls from landlords concerned that your Government may impose significantly higher Capital Gains Tax on the sale of rented properties.

We understand that the proposal is to link CGT rates to income tax rates on the sale of non business assets. As you are aware there are around 1 million private residential landlords who own and manage around 3.5 million homes in the UK. These landlords are currently required to submit returns to HMRC as a business. Media speculation indicates that your Government may view owning and managing residential property as a non business asset.

On behalf of landlords we work with we are seeking clarification that the Government will treat the ownership and management of privately rented residential property as a business and that any changes in CGT rates will reflect that. The loss of taper relief which the previous Government removed has already made owing and managing property less attractive. We believe that linking CGT to income tax rates will seriously damage an industry which is vital to this country and will force many landlords to leave the industry and seriously deter potential new landlords.

We are aware that the National Landlords Association are running a campaign to raise awareness of this issue and encouraging their members and others to contact their MPs but time is too short before the emergency Budget to galvanise landlords into concerted action. Owning rental property is business activity not speculative investment and we ask that you confirm that your Government agrees with this point. Furthermore, we request that you bring the legitimate concerns of landlords throughout the UK to the attention of the Chancellor as he prepares the emergency Budget and encourage him to act accordingly.

A copy of this email will be posted on our Blog. Any response that you wish to make will also be posted on our Blog.

Kind regards,

Sean Kearns

Managing Director

NetRent Ltd

Lettings News week commencing 16 May 2010

Buy-to-let landlords rush to sell before capital gains tax rise

Landlords 'feeling more optimistic'

Record numbers renting out rooms

Amateur landlords will 'stay out of buy-to-let market' claim

EPCs to be retained but rules are relaxed

£1bn blown on Hips before axe finally fell