The NRLA has slammed the government’s rumoured intentions to abolish the UK’s furnished holiday lets system.
According to media rumours, the Treasury is expected to announce this measure in the 2024 budget today (6th March), in a bid to raise £300m of revenue.
These speculations have not been confirmed by the Treasury.
In response to these rumours, Ben Beadle, chief executive of the NRLA, said that this potential measure is not a solution, and called on the government to instead introduce pro-growth measures which would encourage greater investment in long-term lets by private landlords.
“The government are wrong to believe that making this sector as unattractive as the PRS will result in landlords moving back to long-term lettings in the PRS.
“Squeezing holiday lets is not the answer — the chancellor needs to address the chronic shortage of long-term rentals by attracting new landlords to the market.
“Rather than level down in this way, what we need to see is unashamedly pro-growth tax measures that will encourage investors to stay in the market and invest more, as well as an increase in social housing — or at least not flogging off the declining stock under right to buy.
“He should follow the advice of the Institute for Fiscal Studies and reverse punitive tax hikes which have stifled the supply of the homes renters desperately need.”
