Telegraph Money is calling on the Government to end the war on property investors and resist raising taxes or bringing in reforms that risk driving decent landlords out of the market.
Britain’s rental market will lose one million homes in the next decade if Labour goes ahead with a capital gains tax (CGT) raid, research shows.
Chancellor Rachel Reeves is reportedly considering a move to align CGT with income taxes – a move that will spark an “exodus” of landlords, the report by Capital Economics warned.
CGT is paid on the profits a landlord makes from selling their property and is capped at 24pc. However, if this was increased in line with income taxes, higher earning landlords would be left paying out 45pc of their profits to the taxman.
Capital Economics estimates the policy would mean 910,000 landlord owned homes would vanish from the market in the next 10 years.
It said 790,000 more properties that had been rented would be sold and there would be 120,000 fewer purchases.