DSS Select | Budget Special | 30 October 2026
The Autumn Budget, delivered on 28 October 2026, offers help with household energy bills and promises more affordable housing. But landlords face higher property-income tax rates from April 2027, while tenants are still dealing with expensive rents and a shortage of suitable homes.
Here are the changes that matter most.
LANDLORDS
24% / 44% / 49%
Property-income tax rates from April 2027, depending on tax band.
HOUSEHOLDS
£100
Energy payment for eligible English households in council tax bands A–D from January 2027.
AFFORDABLE HOUSING
£1.5bn
Additional investment intended to deliver around 10,000 homes in England.
ELECTRICITY VAT
0%
Temporary rate on qualifying domestic electricity extended through June 2027.
What does this mean for landlords?
The increase in property-income tax rates is significant for individual landlords paying income tax on rental profits. A landlord with £20,000 of taxable property income wholly within the higher-rate band would pay approximately £400 more annually at 44% instead of 42%, all else equal.
Meanwhile, the new high-value council tax surcharge will affect qualifying expensive properties in England, with a confirmed 100% premium for properties left empty and unoccupied for at least 12 months under that surcharge's rules. This is not a general doubling of council tax on every empty rental property.
What does this mean for tenants?
Eligible households will receive some welcome energy-cost support, and the government is increasing investment in social and affordable housing.
But an important question remains: will these measures make it easier to find a home in the private rented sector?
The Budget does not itself guarantee lower rents, and additional affordable homes will take time to deliver.
For tenants receiving Universal Credit or Housing Benefit, access to suitable properties remains just as important as financial support.
The DSS Select perspective
Higher costs for landlords and continued affordability pressures for tenants create a difficult balance.
Landlords need reliable rental income. Tenants need fair access to homes they can afford. Letting agents need to match the two without unnecessary barriers.
That's why DSS Select believes the answer isn't to narrow the tenant market. It's to make better-informed decisions.
DSS Select isn't asking landlords to lower their standards. We're asking them to widen their choices.
Explore free registration: DSS Select — Landlords & Letting Agents
Budget announcements may require implementing legislation, and tax outcomes depend on individual circumstances. This article focuses mainly on England; devolved housing and tax arrangements can differ.
