Landlords and property developers are bracing for potential tax and planning reforms as confidence in new-build activity weakens ahead of the Autumn Budget. Fresh survey findings suggest the development pipeline is slowing, with many now delaying investment decisions until government policy becomes clearer.
Developers point to taxes and planning delays
A survey commissioned by lender Octane Capital found 64% of UK developers are not confident about beginning new schemes over the next year, while just 8% said they were progressing as normal. The sentiment reflects what many landlords already feel: unpredictable policy creates risk, and risk pushes investment to the sidelines.
Concerns around potential annual land-value taxes, higher Capital Gains Tax, or new corporate disposal levies are intensifying. Over a quarter of surveyed developers said they were very concerned about a possible annual levy on high-value land or property earmarked for construction, with another 35% warning that thresholds and rate design would determine viability.
Meanwhile, 43% said anticipated tax rises would delay planned disposals, slowing the overall development cycle – the opposite of what the government claims it wants. Almost a quarter (23%) said they may accelerate sales ahead of expected tax changes, which risks pushing supply and pricing distortions into the market rather than smoothing them out.
Jonathan Samuels, CEO of Octane Capital, summed up the sentiment: “Developers thrive on certainty, but right now that’s in short supply.”
UK rent growth outlook tied to planning reform and incentives
Despite growing speculation about tax changes, most developers point to the planning system as the true bottleneck. More than half (54%) of respondents believe reforms to planning would make the biggest difference in helping the government achieve its 1.5 million new homes target.
Financial incentives still matter:
- 14% want reduced SDLT or lower transaction costs on land
- 14% support tax relief on acquisition or build costs
- 9% said cheaper development finance would make the most difference
This tracks with what many private landlords have argued for years: if the government wants homes built, it must make investment worthwhile. From EPC reform uncertainty to mortgage relief rollbacks, UK housing policy has rarely aligned with supply goals.
One regional Midlands-based developer speaking publicly earlier this month commented that planning “takes so long that cost assumptions are outdated by the time approval arrives.” Many landlords in growth markets such as Manchester, Bristol, and Glasgow have reported the same experience when attempting conversions or small-scale developments.
Stamp Duty reform is gaining momentum with older homeowners
Separate research from Audley Villages reveals a strong public appetite for Stamp Duty reform – a long-standing issue for landlords and downsizers. According to the findings:
- 40% of over-55s (equivalent to 8.7 million people) want Stamp Duty abolished or reduced
- 38% want more support for downsizing
- 37% say more age-appropriate housing is needed
Significantly, 19% are delaying moves until after the Autumn Budget, demonstrating how policy rumours alone can freeze market mobility.
Nick Sanderson, CEO of Audley Group, warned the government not to introduce taxes that block movement at the top of the market:
“If the government wants to encourage people to downsize, it must support the creation of more age-specific properties and provide an incentive to move.”
Could a targeted exemption – such as removing SDLT for downsizers – unlock thousands of under-occupied homes? Many landlords are watching closely.
Editor’s view
The message from both landlords and developers is crystal clear: certainty, not complexity, is what unlocks investment. If the Autumn Budget prioritises planning reform, improves financing routes, and avoids new punitive property taxes, confidence could stabilise quickly. But if the Chancellor opts for politically convenient taxation rather than long-term supply strategy, the slowdown in development – and pressure on rents – is likely to intensify.
The next few weeks matter. Will the Budget support growth, or push housing delivery further out of reach?
Author: Editorial team – UK landlord & buy-to-let news, policy, and finance.
Published: 17 November 2025
Sources: Octane Capital, Audley Villages
Related reading: House prices steady as landlords sell ahead of Autumn Budget
