Property group calls for CGT reform

Date: 22nd February 2008

A group representing the interests of estate agents in the UK has called on the government to re-examine its capital gains tax (CGT) policy to help buy-to-let property investors.

The National Association of Estate Agents (NAEA) said that CGT rules should be changed to give investors more incentives to help the property market flow more easily, by allowing them to conduct transactions in an efficient manner.

Stewart Lilly of the NAEA stated that the tax reforms should be made in light of the fact that buy-to-let investors are set to become the "backbone" of the residential rental market.

"We believe that together with stamp duty reform, reduction in buy-to-let CGT and a greater emphasis on real green policies that work, the government can make a big difference to the housing market," Mr Lilly explained.

The NAEA was founded in 1962 and has in the region of 10,000 members across the UK.