• UK Government to reduce higher rate of capital gains tax (CGT) on property from 28% to 24% in April 2024.
  • Aimed to boost the residential property market and incentivise landlords/second homeowners to sell.
  • The lower rate of CGT to remain at 18%.
  • Second, homeowners letting properties to holidaymakers face the consequences with the abolition of the “Furnished Holiday Lettings” tax regime in April 2025, expected to raise £245m annually.
  • The change aligns holiday lets with the private rented sector, estimated to generate £300m for the Treasury.
  • Chris Norris from the National Residential Landlord Association criticizes the move, stating that it will be neutralized by a reduction in the annual tax-free allowance.