Following the government's announcement on the 23rd of March 2021 that interest from 1 October 2021 will not be deductible for landlords investing in residential property we are disappointed to report that no further details have been made publicly available
Landlords have many questions about the proposed rules particularly in relation to what property is affected (e.g. a commercial activity undertaken in a residential property), the new building exemption and what will qualify as a new build and for how long?
This lack of information is, according to some economists, causing investors to pause in the market.
We are expecting an IRD discussion document in June which will begin to outline IRD thinking about what or who the new rules will apply to. It won't however be until law is passed (expected to still be nine months away) that we have true certainty.