Ok I voted conservative at the recent general election, mostly because New Labour have had their chance, it has of course been difficult for them to successfully run our country with the problems of the last few years. So we have to have change.

So what is one of the first major policies with our new government ? The newly appointed chancellor, George Osbourn is expected to set out plans for a rise in CGT at the start of the new tax year, April 2011 and is widely expected to be as much as 40-50%, in order to pay for the increase in the income Tax threshold to 10%. There may be some taper relief the longer you have owned the property.

So of course this will affect our buy to let (BTL) landlords as they may choose to avoid punative taxation on the disposal of the rented property. New landlords will have to factor in additional tax when considering the merits of making an investment. We will have to wait and see, most BTL landlords are investing for the long term regardless.

On the plus side if there were to be wholesale disposal of properties then there would be an under supply of property to let, which would increase monthly rentals and provide higher returns to landlords, we will soon find out  in the emergency budget which is on June 22nd. If you have any questions you would like answered regarding this subject please e mail me on richard@anthonydavies24.co.uk