Buy-to-let thrives with 100,000 new landlords a year
The buy-to-let business is increasingly popular in the UK with tax figures suggesting there are over 100,000 new landlords every year.
£16.2 billion was earned from property by 1.9 million people in 2015/2016, according to official statistics from HMRC - an increase of £4.1 billion over four years.
An analysis of the data by financial advice firm NFU Mutual shows that this means that the number of new landlords has been increasing on average by over 100,000 every year since 2011/2012.
Sean McCann, chartered financial planner at NFU Mutual, said: “The Chancellor will be rubbing his hands in anticipation as these huge incomes from dividends and properties give the taxman two bites at the cherry."
He pointed out that the latest predictions from the Office for Budget Responsibility show capital gains tax receipts will increase from £8.8 billion this tax year to £9.9 billion in 2018/2019 and grow to £13.3 billion in five years’ time.
Those landlords who may have sold properties have faced and will continue to face considerable capital gains tax bills, he warned.
He added that it is likely that the number of landlords will "start to plateau or even fall over the next few years" as property investors are hit by new tax measures.