TV star agrees higher landlord taxes are shrinking supply within rental market

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Property expert and TV presenter Phil Spencer believes landlords are being disadvantaged by tax rules that have made the profession less attractive to investors.

He says landlords are being forced out of the sector, leaving both them and renters in a vicious circle. Speaking at the Ideal Home Show, Spencer said that while there isn’t much compassion for landlords, he believes the issue of buy-to-let mortgages is more worrying than the cost-of-living crisis.

“I’m particularly worried about the rental market at the moment because tenants are having it really hard because of a lack of choice, which produces inflated rents,” he tells Metro.

“It’s good for landlords and it’s bad for tenants, but that’s actually come about as a result of what is bad for landlords.”

Fewer landlords

Spencer explains that he wants people to appreciate that what is bad for landlords – changing tax rules and the fact buy-to-let is not generally seen as an attractive investment –makes it hard to make money, which means there are fewer landlords.

“Existing landlords are selling up, and new landlords aren’t coming into the market,” he adds. “Nobody has sympathy for landlords, and I completely get that, but the result of that is that there are less places to rent for tenants and rents are rising hugely. It’s a vicious circle and I see that as a real worry for society.”

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