Local property expert advises on what landlords and letting agents should look out for in 2024

The Spring Budget for 2024 was revealed by Jeremy Hunt on March 6. For those in the property market, there are five things letting agents and landlords need to know from the announcement.

The budget is an opportunity to summarise official economic forecasts, spending, and government revenue collection. The budget was made due to the increased chance that a general election will occur before 2024 finishes.

Director of Tutis Estates in Holbrooks, Jag Chaggar told us the five key things that letting agents and landlords should be aware of from the recent announcement.

Read more: What you need to know about the right-to-rent law changes according to a property expert

1) Tax cuts for holiday homes and multiple dwellings to affect landlords

To assist deliver personal tax savings, the Chancellor has scrapped the furnished holiday lettings tax structure. This reform could cost holiday landlords an average of £2,835. According to Jeremy Hunt, the goal of this clampdown is to prevent the “distortion” of not enough properties to rent for “local people.”

Holiday homes are especially common in certain locations of England and Wales. In 2023, the Welsh government announced a new holiday rental licensing plan. According to this plan, all guest accommodations must meet certain criteria to be classified as a holiday rental property.

This is a reasonable loophole to eliminate, which would assist balance the buy-to-let industry and, ideally, liberate additional full-time tenancy stock in tourist hotspots, large cities, and coastal communities.

2) Capital Gains Tax cut to affect landlords and buy-to-let market

In the 2024 Spring Budget, the Chancellor announced that the higher rate of property Capital Gains Tax will be reduced from 28% to 24%. Capital Gains Tax applies to properties when a person profits from the sale of a property that is not their primary residence. Examples include selling buy-to-let properties, commercial space, land, and inherited properties.

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