The property sector is advocating for more defined policies as Chancellor John Healey prepares to deliver the Autumn Budget today at 12:30 p.m. Trade associations spanning estate agencies, rental providers, construction firms, and mortgage lenders have stressed the need for clearer guidance to ease housing market instability, with tax adjustments and long-term planning as top priorities.
Propertymark has demanded a reassessment of property-related taxes, arguing that the combined burden of income tax, reduced mortgage interest relief, Capital Gains Tax, and stamp duty hikes is squeezing operators. The National Residential Landlords Association (NRLA) reports that buy-to-let losses have surged by 32% to exceed £1 billion, while also advocating for Local Housing Allowance rates to align with actual rental costs in the current market.
The government’s Your First Home scheme continues to draw attention as a potential solution for first-time buyers. Under the plan, purchasers could enter new-build markets with deposits as low as 2.5%, but developers warn that insufficient stock could drive prices upward. LRG’s Tim Foreman emphasized that builders need policy certainty to expand output, though industry leaders insist buyer incentives must pair with genuine supply increases. Meanwhile, mortgage costs have risen sharply: the average monthly payment on a £250,000 loan at 95% loan-to-value has increased by £147 since November 2025, according to Moneyfactscompare. This shift has forced millions of borrowers to delay purchases or refinancing, deepening market stagnation.
The Federation of Master Builders (FMB) has proposed targeted relief measures, including VAT reductions on home improvements, expanded training programs for construction workers, and mandatory licensing for builders. Their research indicates homeowners are postponing billions of pounds of work due to difficulties finding trusted builders. Estate agents have noted a 20% annual rise in auction listings, yet buyer hesitation persists as borrowing costs remain raised.
Adam Day of eXp UK and Europe stated: “We don’t necessarily need another headline-grabbing housing initiative.” The proposed High Value Council Tax Surcharge, set to apply from April 2028 to properties worth £2 million or more, has raised concerns about London’s appeal to international investors. Marc von Grundherr of Benham and Reeves warned that additional taxes could weaken London’s appeal to international investors.