The Government’s sudden attack on landlords is unlikely to end anytime soon despite widespread criticisms.

The Government has come under attack for its plans to introduce a 3 per cent stamp duty surcharge on buy-to-let and second home purchases and slash the tax relief that landlords can claim on buy-to-let income.

The CML is the latest in a long line of commentators calling for a Government U-turn on the buy-to-let onslaught. The trade body is urging the Government to reform its implementation plans for a stamp duty surcharge, to mitigate potentially negative impacts on the housing market as a whole.

Paul Smee (left), CML Director General, said, “Our longstanding view is that stamp duty is a blunt policy lever. Given the complexity of the proposals, we also suspect that in practical terms the surcharge could cause more problems than it solves. We urge the government at least to move away from a position where people will have to pay and then potentially claim back to one where payment is deferred, and only triggered if the buyer genuinely falls into the intended target category.”

But David Cox (right), Managing Director of ARLA, does not expect a change in Government policy any time soon.

He said, “Having had discussions with the Treasury, I can honestly say that I would be very surprised if the Government was to perform a U-turn. It has already allocated the money it will raise from investors to the tune of around £880 million a year from 2020.

“There may be a few minor amendments, but ultimately landlords are being made to pay more to cover the increase in the housing budget.”

The majority of landlords in the UK believe the Government’s tax changes will discourage investment in the buy-to-let sector and lead to higher rents, according to new research.

The survey by lettings and property management company Orchard and Shipman Group found that 86 per cent of landlords believe it will prevent investment in the sector, while 90 per cent believe it will also result in higher rents and overall they believe it will ultimately reduce the availability of rental homes.

“With these market conditions at play, it’s no surprise that landlords will be putting up rents to supplement their income. Unfortunately, it is tenants that will feel the brunt of the tax changes,’ said Shane Spiers, chief executive officer of Orchard and Shipman Residential.