Labour Embraces Hunt’s Tax Raid on Furnished Holiday Lets
As Rachel Reeves announced the government would be removing the winter fuel payment upsetting tens of millions of pensioners, a measure punishing owners of traditional holiday lets in rural and coastal communities slipped by without as much notice. The abolition of the furnished holiday lettings tax regime was first announced by Jeremy Hunt in the pre-election budget – he claimed it was being abused by ultra-wealthy second home owners. But the plans were blasted by the operators of modest businesses and other small business lets, which are the bedrock of the UK staycation industry…
Now Labour has confirmed plans will still go ahead and HMT expects to raise £245 million a year in revenue from the change. Labour’s revival of the policy will surprise nobody – except those who thought they might offer a different set of fiscal policies to the Conservatives. Perhaps the Tories should focus on finding a new leader who believes in cutting tax, rather than just giving Labour a free pass to remove tax-breaks…
