The National Residential Landlords Association (NRLA) has submitted a budget proposal to the government, urging the Chancellor to support landlords in the upcoming Autumn Budget. The association is advocating for a tax system designed to support the private rented sector.
Among its proposals, the NRLA suggests reforms to Capital Gains Tax (CGT) to better reflect genuine economic gains. This includes indexing the allowable base cost of residential property for inflation using the Consumer Price Index (CPI), with the base cost encompassing the original purchase price, Stamp Duty, and other acquisition costs, indexed from the date of expenditure.
The NRLA also calls for the government to unfreeze Local Housing Allowance (LHA) rates and re-link them to at least the lowest 30% of rents. LHA rates were announced to remain frozen for 2026/27 during the Autumn Budget 2025.
Additionally, the association is seeking greater investment in the workforce required to retrofit UK housing stock. It proposes classifying specific energy-efficiency investments as revenue expenses, making them deductible against profits for Income Tax purposes in the year they are incurred.