Good landlords should get more tax breaks – while bad ones should face stricter sanctions.
This is according to a new report from the Chartered Institute of Housing and the Resolution Foundation, which calls for action to bring more homes in the private rented sector up to “modern standards”.
The report calls for new tax incentives for landlords who sign up to a proposed accreditation scheme. The scheme would be run by a number of different bodies around the country, but all would follow the same criteria.
It also calls on the government to review the statutory minimum standards for landlords, and for the establishment of a clear national framework setting out landlords’ responsibilities for property conditions and housing management.
The Resolution Foundation suggests that the tax incentives could take the form of a more generous allowance for allowable expenses, capital gains rollover relief, or a more sympathetic tax treatment for improvements necessary to bring properties up to accredited standards.
The recommendations have been supported by the National Landlords Association. Richard Blanco, the group’s spokesperson, said: “Landlords run businesses and anything that encourages us to reinvest our profits or improve our properties is to be welcomed.
“Rogue landlords ruin our reputation and we want to drive them out.”