Slim pickings, but big tax budget brings stability

Ahead of the Autumn Budget, it’s likely that your fingers were firmly crossed, hopeful of news to get the housing market shifting after pre-budget rumours cooled activity and pricing in November. You may also have been hoping for a little cheer to share with your buyers, sellers and landlords. The pickings may have been slim, but what the budget has done is bring a little more stability to calm those nerves now that the full budget details have been revealed.

 

The private rented sector had hoped for a reform of stamp duty, especially after the Chancellor hit landlords, buyers and sellers with stamp duty increases during the past year.

But stamp duty reform was not meant to be in this budget. Instead, Rachel Reeves introduced increases in property income tax rates that will impact landlords and extra charges for buyers and sellers at the top-end of the market, with a high value council tax surcharge of £2,500 applicable to properties valued at £2 million or more and £7,500 on properties worth £5 million and above.

 

Little change for buyers and sellers

 

For buyers and sellers of the average property, there is little change. In fact, they are likely to be happy that Reeves has attempted to level the playing field between income extremes by making the tax system fairer. For example, she justified the high value council tax surcharge by pointing out that under the current system the average band D family home receives a council tax bill higher than that paid by owners of a £10 million property in Westminster.

 

There were also a variety of affordability measures announced, from the ending of the two-child benefit cap to increases in the National Living Wage, which will boost income for buyers and tenants alike.

 

Your clients will still be nervous and in need of advice, however. Sellers will want advice on how to price competitively, while buyers will need reassurance that now is the right time to invest. Handholding them through the process remains essential.

 

More challenges for landlords

 

The greater challenges from the budget revelations will be those faced by your landlord clients, particularly as they also face the first phase implementation of the Renters’ Rights Act from 1 May 2026. Costs, processes and policies will need to be carefully managed over the next few months and years and there’s plenty of opportunity for you to offer extra assistance with this.

 

The need for a personalised service

 

A more personalised service will be essential to helping buyers, sellers and landlords alike in 2026, so freeing up your time to offer that one-to-one support will be vital. You may be facing your own challenges of how to do that following the freezing of income tax thresholds and rises in the minimum wage which could indirectly impact businesses such as yours. These changes may also impact your future hiring plans, with a survey following the budget revealing that more than half (56%) of business leaders say they are now likely to hire fewer staff.

 

Efficiency will be vital and it’s here that automation of processes such as lead generation can help, freeing you to offer the more personalised service that your clients will cherish.

 

We’re here to help you attract more leads and win more instructions. Want to know more about how we can free you up to offer a more personalised service? Get in touch at team@valpal.co.uk.