The Intermediary – December 2025 - Flipbook - Page 63
AU T U M N B U D G E T
Rapid reaction
“It is also glaringly obvious that the
current tax burden, now at record levels, is
unsustainable in a highly mobile world.
Successive Governments must know this, yet for
years have avoided addressing the underlying
structural problems.
“We can remain a responsible society by
targeting support where it is most needed,
but unless we reduce the size of the state over
successive Budgets, the UK risks continuing on
a structural downward path, driving away talent
and wealth and ultimately causing greater
hardship for everyone.”
Charlie Warner
partner at Heaton & Partners
“If it had truly been about balancing the books,
the Chancellor might have retained a fluid
property market rather than creating bunching
points at various stages between £2m and £5m.
She would also have avoided yet another signal
to the ambitious that they will be taxed for
enjoying the fruits of their success.
“The policy, according to the Office for Budget
Responsibility’s additional data, is cumulatively
almost cost neutral over the next four years, with
an increase in tax take thereafter to £0.4bn
annually. I suspect this is wrong, as there was a
nod to the right to deferral.
“Generally, there comes a point when older
occupants of sizeable houses want to reduce
energy and maintenance costs and make
the difficult decision to sell up and move to
somewhere of a more appropriate size. With
the Chancellor’s changes, deferral of payment
Omar Al-Hasso
CEO of SimplyPhi
“The Autumn Budget was a golden opportunity
for the Chancellor to continue to progress
Labour’s housing ambitions beyond simply
building new homes.
“Earlier in the month, the MHCLG released
guidance on the Social and Affordable Homes
Programme which included a major focus on
building new affordable homes – 60% of which
will be targeted for social rent. While new-build
delivery is undoubtedly an important part of
the picture, this approach fails to address the
diversity of housing required to meet existing
needs, especially the critical demand for
temporary accommodation.
“Prioritising new-build housing delivery offers
a medium to long-term fix to a clear and present
immediate housing crisis, as it takes years to
obtain planning permission and then build out
developments and is comparatively more costly
than making use of existing housing stock.
“The Chancellor has missed an opportunity
to use the Budget to reform Local Housing
Allowance rates, indexing them to inflation or
preferably re-basing them relative to live market
rent as originally structured. This would not only
open up more affordable private rented housing
stock, but would reduce risk for local authorities
raising institutional investment from the
private sector, to bring forward more immediate
housing supply.”
Adrian Watts
CEO at Croudace Homes
until sale or death would simply lead many
downsizers faced with a stressful sale process for
marginal gain to sit tight.
“This will reduce Stamp Duty Land Tax take
“Recently there has been a decline in buyer
confidence within the residential property
market. This is resulting in buyers cautiously
and reduce availability of good housing for
navigating a challenging market, where
families at the top end of the market once the
affordability remains one of the biggest obstacles,
policy has kicked in.
particularly due to the lack of support, especially
“When it comes to the second thing to
remember; this is in the context of a group of
society who have had a thorough financial
kicking over the last year, and I think even this
for first-time buyers, which are the lifeblood of
the property market.
“First-time buyers are essential for a thriving
housing market, so we must invest in schemes
Government realises that the flight of wealth
that will reduce barriers to getting people
from this country can’t continue at the same
onto the property ladder, and drive demand
rate if its bills are to be paid.
“Rental income will lead to increases in rent,
so ultimately, this will be an own goal against
renters. As private landlords come to the
to maintain the confidence and security of
prospective buyers in the market.
“The housing market is in dire need of stability,
certainty and a long-term strategy, so it is
decision that the yield is not worth the hassle,
disappointing that the long-awaited Autumn
I can see more investment property becoming
Budget has failed to address the any of the
available for the likes of first-time buyers.”
challenges we are facing as an industry.”
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