Rising costs continue to pile pressure on property professionals, study finds – The Intermediary

Tax administration and rising costs are placing increasing strain on UK property professionals, according to research from The Accountancy Partnership.

A survey of freelancers and self-employed workers found that nearly half (44.7%) of those working across property, including landlords, brokers and investors, said HMRC or tax administration has had the biggest negative impact on their work over the past year.

The findings also highlighted the growing administrative burden facing the sector, as regulatory changes, evolving landlord rules and ongoing discussions around property taxation continue to reshape the landscape.

According to the research, 44.7% of respondents cited tax administration as the biggest negative impact on their work, while 28.7% said late or non-payment from clients represents the biggest threat to their industry.

61.7% reported increased stress or anxiety, and 48.9% said unpaid work is expected within the sector.

In addition, 25.6% of respondents said they are not confident about matching or exceeding last year’s profits.

Lee Murphy, managing director at The Accountancy Partnership, said: “The property sector has seen a number of tax and regulatory changes over the past decade, and that complexity can create significant administrative pressure for individuals managing property portfolios or working within the industry.”

Murphy added: “Unlike larger property companies with dedicated finance teams, smaller property businesses often have to manage their tax obligations alongside their day-to-day work.

“Keeping up with reporting requirements, regulatory changes and evolving tax rules can take up a significant amount of time.”