Landlords aren’t working people, are they?
8:24 AM, 13th November 2026, 9 hours ago
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Labour promised not to increase taxes on working people, specifying income tax, National Insurance and VAT. It believes that pledge has been kept.
Yet from April 2027, property income tax rates are due to rise by four percentage points compared with today’s rates. For landlords in England, Wales and Northern Ireland, that means rates of 24%, 44% and 49%.
For mortgaged landlords who own property personally, the impact can be sharper. They cannot deduct residential mortgage interest from rental income before calculating taxable profit. Instead, they receive a tax reduction limited to the basic rate. That can leave landlords paying tax on “phantom profits”; income that has already gone towards the mortgage.
A recent snap poll of 168 NRLA members found that 73% planned to raise rents at the next opportunity following the announced tax increase. Those are intentions, not a guarantee, but they raise an obvious question.
If landlords are taxed more, who ultimately pays: landlords, tenants, or both?
Does Labour’s distinction between “working people” and landlords make sense to you?
Have your say below.
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