NLA calls for landlords support

Tomorrow's (March 24th) Budget should be focused on changing the tax system to make investment into private rented accommodation more attractive.

This is the view of the National Landlords Association (NLA), which has published a wish list ahead of Alistair Darling's announcement.

According to the NLA, despite the number of people renting in the UK increasing by one million between 2008 and 2009, the current tax system "actively discourages" investment by landlords.

David Salusbury, chairman of the organisation, said: "Given the current housing shortage the chancellor should use the upcoming budget to make investment in property easier and the management of a residential portfolio more cost effective.

"None of the changes for which we are calling would put significant pressure on public funds or reduce tax income to any great degree; in fact most should encourage increased economic activity."

As well as joining calls for the VAT rate on renovation work to be reduced to five per cent, the NLA has called for the government to allow landlords to be able to "roll over" capital gains tax relief to encourage reinvestment into the sector.

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