Property industry group ARLA Propertymark has called on Chancellor Rishi Sunak to use his Budget on 3 March to extend the cut to the Stamp Duty Land Tax holiday and to introduce a financial package to help the private rental sector.
In its list of demands for the upcoming Budget, ARLA Propertymark said with the furlough scheme shortly coming to an end the government should take action to reverse the financial fallout from the Covid-19 pandemic in the property sector.
The group called on the government to:
- Extend the cut to Stamp Duty Land Tax
- Expand Help to Buy to the second-hand homes market
- Establish a mortgage guarantee scheme for key workers
- Restart the empty homes community grants programme
- Raise local housing allowance
- Ensure universal credit is adequate and more effective
- Reopen courts to deal with the backlog of housing cases
- Support investment in the private rented sector
- Build more social housing
Head of Lettings at Watsons, Aaron Stannard said: “It has been widely publicised in recent months’ that demand for rental properties is at an all-time high, with supply failing to meet the demand. As remote working becomes increasingly available, locally we are seeing a large proportion of applicants relocating from London, Cambridge and other major cities, further adding to the demand for rental properties in Norfolk. ARLA Propertymark’s recent plea to Chancellor Rishi Sunak to implement further measures to continue boosting the private rental sector will prove vital in tackling the issue of the lack of supply.”
“With the implementation of the Coronavirus Act 2020 and the looming end of the Furlough Scheme it is imperative that requests for financial support for both tenants and landlords are met to avoid a potential housing crisis and “bubble-burst effect”.
“Given the legislation introduced to the private rental market in recent years and talks of further legislation coming in to force in the coming months’ / years, it’s clear improving the Sector is high on the Government’s agenda. Many of ARLA Propertymark’s requests could be the deciding factor for landlords’ both new and existing, to continue investing in property, whilst providing further security for tenants through increased Housing Allowances and increased Minimum Standards rental properties must adhere to.”
ARLA Propertymark Advisory Board member and Customer Services Manager at Watsons Ian Harris added: “The Stamp Duty Holiday has clearly had a positive effect on the market, but its not a revenue-neutral measure and the government will need to raise tax going forward. However, a stressful, chaotic and costly end to the “holiday” on 31 March, due to the transactional-slowing effects of Lockdown, is to be avoided if at all possible.”
