Buy-to-let landlord interest slumps after new UK tax

Investor interest in British rental property declined by more than a quarter last month compared with a year ago, dampened by new tax changes aimed at cooling the booming buy-to-let market, according to data results released yesterday.

Online property listings company Rightmove said the number of investors planning to purchase a property for rent dropped by 27%, following a surge between December and February as buyers rushed to avoid the new tax.

As of April 1, buy-to-let investors and second homeowners must pay an additional 3% stamp duty on new purchases compared with first-time buyers.