Budget 2016 summary for landlords | Discuss

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Budget 2016 summary for landlords
16/03/2016
3:44 pm
News @ Tenant Referencing
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George Osborne has delivered his eighth Budget as chancellor, saying: ‘In this Budget we choose to put stability first. We choose to put the next generation first. We redouble our efforts to make Britain fit for the future.’

Warning of the risks to the UK economy of EU exit, he stated that the UK was “well paced” to handle a “dangerous cocktail” of global economic risks if “we act now so we don’t have to pay later”.

So how does the UK Budget 2016 affect landlords and the buy to let industry as a whole?:

  • Osborne will extend a planned stamp duty hike on purchases of additional property, to include those who buy more than 15 properties.
  • An extra 3% levy will be applied to standard stamp duty rates on all purchases of property not intended as the purchaser’s main home, from 1st April 2016. The Treasury aims to raise more than £600m from the levy, where some of it will go towards a new £115m scheme to help the homeless.
  • The threshold at which people pay 40% tax will rise from £42,385 to £45,000 in April 2017.
  • Capital Gains Tax to be cut from 28% to 20%, and from 18% to 10% for basic-rate taxpayers.
  • 0.5% rise in insurance premium tax.
  • Anti-tax avoidance and evasion measures to raise £12bn by 2020.
  • Growth forecasts revised down for next three years; Growth forecast to be 2% in 2016, down from 2.4% in November’s Autumn Statement.
  • Commercial stamp duty 0% rate on purchases up to £150,000, 2% on next £100,000 and 5% top rate above £250,000. New 2% rate for high-value leases with net present value above £5m – Effective from midnight.

As we have said for the past 7 years the buy to let market needs growth, not more and more taxation. If they had only taken our advice and kept watering the tree whilst cutting back the unruly branches, we may not be where we are today.  Now we are faced with a potential 500,000 buy to let properties being sold over the next 12 months, what with the NLA reporting that landlord confidence is at its lowest ebb since the dark days of the banking crisis.

How do you feel about the outcome of this budget?

18/03/2016
1:02 pm
Liz
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George Osborne needs a good slapping !Yell  

http://games.usvsth3m.com/slap…..e-osborne/

Liz

19/03/2016
5:14 am
David Price
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GO has done nothing to improve the economy. He should be sacked.

20/03/2016
7:57 am
PaulBarrett
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The economy is a fantasy

The way this Govt has coped with globalisation is to throw massive amounts of money at the problem

This via QE and QE for workers, tax credits in other words

If it wasn’t for tax credits millions wouldn’t bother working and would be on full welfare

Welfare offers a rather nice workless lifestyle which is why so many do it

Tax credits are keeping zombie companies going

If they had to pay proper wages without any tax credits most businesses would go bust or shrink substantially

They’d struggle to find workers on wages they pay currently without tax credits

It is the later generations that will have to pay for all this

The UK govt is effectively just kicking the can down the road to provide the aura that everything is going swimmingly

Well it isn’t, but if they tell the truth that austerity needs to be far worse than what the Greeks have suffered they won’t be voted in the next GE

Whilst the UK govt can obtain funds at dirt cheap rates from investors then they will do so

If the UK govt loses that investor confidence then up go the borrowing rates and then the #### will really hit the fan

The UK population has been  infantalised by successive govts

The facts are globalisation means that our workers are just too expensive

They are only viable with massive amounts of Govt subsidy

For the UK to be truly competitive we need Chinese wage levels

This no UK Govt could countenance so they continue to massively subsidise employers and employees

The National debt is currently 1.7 trillion pounds!!

It is reckoned that there are 7 trillion pounds in unfunded future obligations such as pensions

With mass uncontrolled immigration the burden on society gets worse

Even if there was a budget surplus and it was used to pay down the National Debt it would take about 200 years to pay it all off

Indeed it was only recently that the remaining debt from the South Sea Bubble from the 1700’s was finally paid off!!!!!

The UK is effectively bankrupt

We are not the 6 richest economy in the world

We are broke!!

It is only foreign lenders like the Arabs and Chinese that keep our fantasy economy afloat

The UK has lived life high on the hog with unsustainable welfare levels for the past 50 years

It has continued to support the feckless

It is no longer seen to be a hand up but is now considered to be a perfectly valid lifestyle choice as in most cases it achieves what most could achieve by working but don’t have to bother doing so

Welfare needs to be massively reduced, but no Govt has the guts to tell the populace that we are living beyond our means and yet we are sucking in a million or more every 5 years to burden even further our collapsing public services

Why do you think housing and rents cost so much!?

It wasn’t like this before the EU A8 countries were permitted by dopey Bliar to come to the UK unfettered

Personally suffered I’m looking at emigrating

New Zealand sounds pretty good

The population make up is pretty good as well

The Budget is the equivalent if rearranging the deck chairs on the Titanic, which we all know didn’t work!!!

Remember that the Greek banks robbed people of their money out of savings accounts

The UK govt would do the same thing if needed

Reason to keep that mattress filled up!!

Banks cannot be trusted not to do Govt bidding

This whole Budget exercise was just different ways of kicking the can down the road

Telling the UK electorate the reality would make who does the telling unelectable

Osborne can’t even clear the deficit let alone starting to reduce the National Debt!!

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