Meg Saksida considers where the impact of the proposed residential property development tax will be felt.
The Grenfell Tower tragedy was horrific, and the disaster forced the government to prioritise the end of unsafe cladding.
However, the government did not wish the tenants of such properties to bear the ultimate cost of the remedial work that landlords will be required to make following the secretary of state’s five-point plan to abolish this type of cladding. Instead, the government wished the building industry as a whole to contribute; to this end, a two-pronged approach to raise the finance was suggested. The first is the new ‘Gateway 2’ levy. This will be payable by developers when requesting planning permission for certain high-rise developments. The second is a proposed residential property developer