Laura Sharman 15 March 2022

Campaigners call for new homes tax to be scrapped

Campaigners call for new homes tax to be scrapped image
Image: Ewelina W / Shutterstock.com

Scrapping the 3% levy on the purchase of homes to rent out would see almost 900,000 new private rented homes made available over the next ten years, according to new research.

The analysis by Capital Economics for the National Residential Landlords Association said this would raise £10bn for the Treasury over the same time period due to increases in income and corporation tax receipts.

Capital Economics found over 100,000 new private rental homes a year will be needed over the next decade to meet government ambitions. However, without changes in tax or other policies, the research warned the private rented sector stock will decrease further by over half a million properties over the next ten years.

Ben Beadle, chief executive of the National Residential Landlords Association, said: 'The evidence clearly shows that the supply of rented housing is declining as demand increases and will continue to do so. The Government is taking a blinkered approach to the issue, which is not helped by its reluctance to admit mistakes it has made in the past.

'It makes no sense to tax the supply of new homes supplied by landlords investing in new build or bringing empty homes back into use. As this study indicates, removing the tax will actually generate more revenue, not less.'

SIGN UP
For your free daily news bulletin
Highways jobs

Estate Surveyor x2

City of Bradford MDC
£28,226 - £42,614
The Council has an opportunity for a general practice and agricultural MRICS/FRICS qualified Estate Surveyors. Bradford, West Yorkshire
Recuriter: City of Bradford MDC

Apprenticeship Hub Account Manager

Stoke-on-Trent City Council
£30,095 - £32,798
A fantastic opportunity has recently opened for an ambitious and dynamic individual with a background in sales. Stoke-on-Trent, Staffordshire
Recuriter: Stoke-on-Trent City Council

Customer Access Officer x3

Royal Borough of Greenwich
£31,122 - £32,112
We have three exciting opportunities within our Housing Inclusion Service, for people looking to further their career in housing. Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Construction Quality Officer

Sandwell Metropolitan Borough Council
£30,984 - £35,336
Sandwell Metropolitan Borough Council’s Urban Design & Building Services team is looking to employ a permanent Construction Quality Officer. Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Social Worker

The Royal Borough of Kensington & Chelsea Council
£37,260 - £45,381
In Kensington and Chelsea, we support people’s independence and wellbeing. Kensington and Chelsea, London (Greater)
Recuriter: The Royal Borough of Kensington & Chelsea Council

Partner Content

Circular highways is a necessity not an aspiration – and it’s within our grasp

Shell is helping power the journey towards a circular paving industry with Shell Bitumen LT R, a new product for roads that uses plastics destined for landfill as part of the additives to make the bitumen.

Support from Effective Energy Group for Local Authorities to Deliver £430m Sustainable Warmth Funded Energy Efficiency Projects

Effective Energy Group is now offering its support to the 40 Local Authorities who have received a share of the £430m to deliver their projects on the ground by surveying properties and installing measures.

Pay.UK – the next step in Bacs’ evolution

Dougie Belmore explains how one of the main interfaces between you and Bacs is about to change.