Budget Landlords
In short
Chancellor John Healey has announced a 2% increase in tax rates on rental income as part of the Autumn Budget, according to reports on 28 October 2026.
What is happening
The government is raising taxes on income from property to increase revenue. This move follows a budget designed to support first-time buyers while placing a higher financial burden on those renting out homes.
When
The new tax rates are set to take effect from April 2027.
Why it matters
The tax hike is expected to impact the profitability of rental properties and may influence the availability of homes in the private rental sector. While first-time buyers receive some support, housebuilders and landlords have expressed disappointment over the changes.
Easy to mix up
Do not confuse these property tax increases with the separate tax rises announced for savings interest and entrepreneurs.
Sources
- Savings tax raid to hit 3.8 million Britons as Budget shake-up could push bills up by £603
- Boost for first-time buyers in the Budget, but landlords hit again
- Coventry firms send message to Chancellor after Budget 'without shocks'
- Autumn Budget 2026: What did Chancellor Healey announce for the housing market?