Reform UK says it will abolish section 24 for landlords

Reform UK says it will abolish section 24 for landlords

14:06 PM, 17th June 2024, About 5 months ago 74

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Among the promises being made by Reform UK to boost the UK’s private rented sector (PRS) is a pledge to abolish section 24 in its first 100 days in office.

Section 24 was introduced in the Finance Act 2015 by the then Chancellor George Osbourne which removed a landlord’s ability to offset all of their mortgage interest, from rental income before they calculated the tax liability and allow a 20% basic rate deduction.

In its ‘Our Contract With You’, Reform says it will ‘scrap the 2015 tax changes for landlords’.

Reform adds that the tax system should encourage smaller landlords into the rental markets – not penalise them.

It adds: “We will restore landlords’ rights to deduct finance costs and mortgage interest from tax on rental income.”

The Contract also pledges to abolish the Renters (Reform) Bill – which Labour and the Conservatives have said they will revisit after the election.

Unveiled the party’s election pledges

The party’s leader Nigel Farage unveiled the party’s election pledges in Merthyr Tydfil, south Wales.

Among other housing issues raised by Mr Farage is that rents are up by 25% since 2021.

He said: “Is it any wonder with an exploding population rents are going up?”

Mr Farage also said: “I’m absolutely in no doubt that we are in decline culturally, we’ve begun to forget who we are.

“We are a party that know what we believe.”

He also says that rising immigration is the ‘dominant issue’ in the election – and the country needs to ‘build a new dwelling every two minutes just to deal with the current levels of migration’.

Reform social housing law

Reform will also reform social housing law to prioritise ‘local people and those who have paid into the system’.

It says that in parts of the UK, ‘almost half of all social housing is occupied by someone born overseas. Foreign nationals must go to the back of the queue. Not the front’.

Reform is also planning to ‘fast track planning and tax incentives for the development of brownfield sites, including unused offices and vacant high street properties’.

Mr Farage says that Reform will ‘restore trust in politics’ and adds: “You might dislike what we say, you might not even want to vote for what we say, but at least we do say what we mean.”

Five core pledges from Reform

Reform has five core pledges, including freezing ‘all non-essential immigration’ to help ‘boost wages, protect public services, end the housing crisis and cut crime’.

The party says it will also ‘stop the boats’ in its first 100 days, with a plan to leave the European Convention on Human Rights (ECHR).

The tax cuts promised by Reform include:

  • Raising the minimum threshold of income tax to £20,000 a year
  • Abolishing stamp duty
  • Abolishing inheritance tax for all estates under £2m
  • Cut £50billion off public spending
  • Leave the European Court of Human Rights
  • Incentivise the use of new construction technology
  • More new apprenticeships and vocational courses will increase the supply of skilled, well-paid workers to replace cheap overseas labour.

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Michael Booth

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16:24 PM, 17th June 2024, About 5 months ago

Reply to the comment left by Liam at 17/06/2024 - 14:30
Is that why he lost the eu elections

Stella

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16:30 PM, 17th June 2024, About 5 months ago

Reply to the comment left by Liam at 17/06/2024 - 15:16
It is because I have held some property for over 40 years and some for over 30 years and there will be a big CGT bill to pay
If the CGT bill is set to double under Labour it makes a mockery of the idea that they want to encourage business.

Liam

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16:36 PM, 17th June 2024, About 5 months ago

Reply to the comment left by Michael Booth at 17/06/2024 - 16:24
Macron? I think that's the post of mine you're referring to?

I did say he's not well liked of late. The point I was making was that his fledgling party became the ruling party and he was one of the youngest (if not the youngest ever) rulers of France.

Can't stand him myself, but it was the fact he did pull it off that was the amazing thing. Can you imagine Reform doing the same? Can you imagine us actually being brave enough to forgo the last 100 or so years of tradition in putting Labour or Tory in to power? Not that I'm saying that's going to happen of course, but it does show you what the will of the people could do.

On an unrelated note, my half brother is called Mike Booth. Always makes me smile when I see your posts.

Liam

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16:38 PM, 17th June 2024, About 5 months ago

Reply to the comment left by Sue Sandy at 17/06/2024 - 14:27
Surely they can't be any worse than either of the others track record?

Gary Dully

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16:38 PM, 17th June 2024, About 5 months ago

I’m amazed that people read what Reform are offering and people still think that voting for the usual parties is going to change the fate of the PRS.
You’ve just come through all the main parties telling the public that your ‘spivs’ and promising to send your property rights to oblivion, as soon as parliament reopens.
Then when someone comes along talking common sense, you say you’re going to vote for the same idiots, that created S24 and the SDLT surcharge, who know nothing better than grudge politics!
Well I wasn’t going to bother voting, as they all were saying the same, but now I’m going to try and give my opinion via a vote for Reform.

Liam

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16:43 PM, 17th June 2024, About 5 months ago

Reply to the comment left by Stella at 17/06/2024 - 16:30
Yeah, I can understand that. I've just purchased a MUFB from a guy who bought it for £4000 many years back. There must have been some bill on that as it is today never mind if it's doubled.

As I said before though, if you still want to be in the game and it's viable for you, you could take on a mortgage, have the money, still keep the house and the rental income. With the money raised from the mortgage being tax free so they can stick their CGT.

Liam

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16:47 PM, 17th June 2024, About 5 months ago

Reply to the comment left by Gary Dully at 17/06/2024 - 16:38My wife said exactly the same... She wasn't going to vote this time because none of them are worth the trip to the poling station. I've shown her Reforms policies and she will be partaking in this election after all!
This rubbish the Tory's are spouting about putting Labour in quicker by voting Reform is pure nonsense. Of course a Tory who's scared of losing his/her seat will tell you that!

jamie wilbur

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16:48 PM, 17th June 2024, About 5 months ago

If you want to risk your CGT doubling as well as other taxes then vote Reform. All you are doing is handing it on a plate to Labour. I urge you not to bother as it will come back and bite you !!

Cider Drinker

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16:53 PM, 17th June 2024, About 5 months ago

With a Labour government and a Conservative Opposition, the landlords fate will be well and truly sealed. The country’s too.

We need a right of centre party to challenge the Labour government.

Rob Crawford

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16:57 PM, 17th June 2024, About 5 months ago

Farage admitted, "Labour will win this election". He explained, "this election is about getting UK Reform into position to win the 2029 election". So the debate should now be about who we want to be the opposition party to Labour, Sunak or Farage?

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