Landlords 'failing' on energy efficiency goals

23/03/2009

New research has been released by accountants Smith & Williamson, showing that private buy to let landlords are wasting tax payments on energy efficiency improvements they have made to properties owned.

Current tax laws allow the buy to let landlords to claim money back if they boost efficiency through measures such as installing insulation under the Landlords' Energy Saving Allowance (LESA).

However, the new analysis suggests that the amount of tax relief going unclaimed each year runs into the six figures - with a maximum of £1,500 to be claimed from each property.

The waste is compounded by the fact that making the improvements would provide significant savings on energy bills for tenants.

Richard Mannion, national tax director at Smith & Williamson, commented: "Making energy efficient improvements to a property will reduce the cost of energy bills as well as maximise the tax savings available under LESA.

"In addition to saving themselves money, they'll save their tenants money and do something good for the environment… It's a win-win situation for landlords."

Over five million Britons are thought to suffer from "fuel poverty" - where over ten per cent of income is spent on gas and electricity bills.

Tags; Housing Debt and Bills, Recent Graduate Debt,

• Share
• 
• 
• Store
• 
• Follow
•