JANUARY 06, 2016 | BY A & S Property
Tory peer warns BTL attack could “destabilise” housing market
Conservative peer Howard Flight has condemned his own party’s attack on buy-to-let.
Lord Flight published an article on the Conservative Home website outlining his concerns about the upcoming changes to the tax regime for landlords.
A former Conservative shadow chief secretary to the Treasury, Flight warned the buy-to-let tax changes could trigger a sharp fall in house prices, “if not a crash".
He went on to warn that landlords paying more tax on their rental income and higher stamp duty rates on investment properties could "put thousands of tenants’ security at risk", as landlords rushed to evict tenants and sell properties.
Lord Flight’s comments come just days after a leading accountancy firm warned that tax changes would lead to higher rents.
KPMG warned that the stamp duty hike for landlords could result in developers struggling to sell new build property while reduced supply of rented property could mean higher rents for tenants.