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  • Section 24 HQ

    What makes others think Section 24 will go?



    I often see in Blogs that Landlords feel S24 ect will go

    Personality I would love to see the back of it even if the retrospective side would be very welcome

    I watched the BBC News and they confirmed that the medicine the Govt is using to put off Landlords is working

    A number of Landlords keep using the Irish s24 as yard stick to end S24

    For the Life of me I cant see any reason to think why the Govt would change a Policy which is working

    We are not Ireland we have a very different Housing Market so I just don't get the comparison

    The Govt want Large Investors from the city who provide purpose built property for the PRS

    and most likely at a better standard than we provide in general

    I personally don't think we have a Cat in hells chance it will change

    If the Government did a unchanged on this Generation Rent and there supporters will be up in arms

    If Labour come to Power there is even less chance of it changing

    I know we bleat saying there will be homeless folk on the streets and rents will rise

    this will come to pass but it wont change our cause

    The Public don't support our sector so why should it change

    I just don't get the optimism on this issue.

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    Learn Change and Adapt ?????

    All comments are for casual information purposes only. If you wish to rely on any advice I have given please ensure you obtain independent specialist advice from a third party. No liability is accepted for comments made.

    @dl

    Yes I share your pessimism

    Vanessa reckons it will be abolished...................eventually. !!!

    Now I know Vanessa has probably a far better appreciation than most about all things PRS due to her continual engagement  with those involved in it and is certainly  privy to lots of stuff that we don't know about.

    However I simply do not and cannot share her optimism from my possibly less informed  perspective.

    Perhaps that's because I'm a bit of a grumpy old git!

    But I see it your way

    S24 is the tax that will keep on giving for decades.

    Eventually  there won't be many S24 LL remaining.

    But it will be decades before that occurs.

    S24 will therefore remain a nice little earner for Govt coffers.

    The fact that S24 is causing homelessness doesn't seem to bother the Treasury  which is why I believe S24 will remain long after we have popped our clogs

    Homelessness  is a price worth paying for all that lovely S24 tax.

    Govt knows most  LL are trapped by S24 which is why they aren't  bothered about its effects.

    They have a LL population  demographic  ripe to be robbed for many years.

    It is highly unlikely  that new entrant LL will invest in their own names so gradually S24 LL will wither away.

    But this will be a very slow process during which time Govt can hit the LL without any electoral  disadvantage whatsoever.

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    I agree

    Homelessness is not the Govt problem??

    they side step the issue and leave it to Local Councils to deal with

    we know the Govt has little time for Councils Just look at how they have off loaded the job of raising taxes on to the councils with the rises in April

    The Large majority of the UK doesn't have a housing problem

    Its a SE problem in general

    affordability in the Majority of the country is not a Problem

    Its a SE problem

    S24 Stamp Duty and PRA has a larger effect in the SE than any other area

    So why would it Change ???????

    S24 will go on and on Just like the removal of MIRAS from home owners

    The PRS are mugs if they think the Government will change anything.

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    Learn Change and Adapt ?????

    All comments are for casual information purposes only. If you wish to rely on any advice I have given please ensure you obtain independent specialist advice from a third party. No liability is accepted for comments made.

    MIRAS was introduced in a very high interest era to help home buyers - but in SE with the £30k cap was withering on the vine by early 1980s due to price inflation - allied to falling rate of basic rate Income Tax (latter being 35% in the 1974/75 Tax Year).

    If original MIRAS was still in place today it would be worth about £4 weekly to borrowers.

    On wider topic of S.24 - the big question has to be whether corporate LLs will remain immune??

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    Your missing my point ?

    when Tax Brakes go they go for good


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    Learn Change and Adapt ?????

    All comments are for casual information purposes only. If you wish to rely on any advice I have given please ensure you obtain independent specialist advice from a third party. No liability is accepted for comments made.


    Hi DL,

    It was never a 'tax break', it was and still is a legitimate cost that should be tax deductible.

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    Yes and to me I still feel its not legal . But the courts  told us we had no chance of fighting it .

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    Without saying too much. As much has been said already. I think it will go BUT not very soon as ine of the driving forces of the decision would be the accumulated consequences and the imoact on the victims of s.24.

    The gpod news will be to see it go.

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    I think you are looking at this S24 issue through rose tinted spectacles!

    The 20% tax credit will be removed.

    S24 will go on for decades.

    There is simply no incentive for Govt to abolish it.

    It seemingly doesn't affect the Govt of the day in any electoral way.

    Until I see tenants and the likes of Shelter and GR clamouring for S24 to be abolished to incentivise  private LL to return is the day I believe it might be abolished

    But I know it will NEVER happen.

    I have very clear spectacles! !

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    even Mystic Meg would have a problem seeing any changes In the future

    S24 PRA and Stamp Duty are very clever tactics

    It has most effect where is targeted and that's the SE

    although we are all effected by it

    Its only us who complain

    The govt has this sewn up in such a lot of ways

    If you really want to be in the Game the door is open for corporate structure

    I have always said this is far from over

    Labour in power will Tax Company Landlords more

    and Rent Control too

    If the Tories come to power even they would bring in S24B and Rent Control

    We are not wanted in the sector and the Govt know it and they can twist the screws as much as they like

    Just look at the track record

    BTL down 80% and the Govt has more cash from CGT and Stamp Duty then ever before

    If I was a Policy maker why would I change It.

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    Learn Change and Adapt ?????

    All comments are for casual information purposes only. If you wish to rely on any advice I have given please ensure you obtain independent specialist advice from a third party. No liability is accepted for comments made.


    Of course the general changes to SD have already hit the upper end of residential sales - and lowered tax take so more incentive to keep S.24.

    Noteworthy too is that Govt is also hitting Social Landlords - Capital Subsidy for new builds has been cut from 75% to 14% since early 1990s - hence in Kingston SW London a new build 2 bed Council flat has rent £1000 pcm.

    Social LLs borrow at average 4.125% pa interest - hence every £100k of loan needs rent at £367 pcm to repay loan over 60 yrs.

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