Budget 2025: Landlord income tax rates to rise
- Surinder Singh
- Nov 26, 2025
- 1 min read
The UK's Chancellor, Rachel Reeves, delivered a notable blow to private landlords in the Autumn Budget 2025, announcing a 2% increase in the income tax rates applied to property income. This move, set to take effect from April 2027, is part of a broader package aimed at making the tax system "fairer" by addressing the differential treatment of earned income (which includes National Insurance) and capital income.
The basic, higher and additional rates will increase to 22%, 42% and 47% respectively.





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