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Residential property developer tax and community-led housing

27 July 2021

Will the proposals for financing the removal of Grenfell-style cladding affect community-led housing groups?

The eagle-eyed amongst the CLH community may have spotted that the government has been consulting on a residential property developer tax.  The government is committed to paying for the removal of at least some unsafe cladding on blocks of flats.  To meet this cost, it is looking to the industry for additional funds via a residential property tax.

At the moment, the tax is only intended to impact on the largest residential house builders and would be a tax on profits.  If this intention is followed through, it means that the proposal is unlikely to have much effect on the community-led housing community. 

Usually, those affected by proposed legislation lobby for exclusions.  In the current circumstances, we imagine that the larger house builders may be lobbying for the government to case its net wider, to further spread the tax burden.  Although it seems very unlikely the proposed tax could affect CLH developments, it is worth keeping an eye on the next stage of consultation in case a broader range of developers are included.

If you would like to discuss any aspect of this article further, please contact Emma Ridge or any other member of the Community Led Housing team on 0113 244 6100.

You can also keep up to date by following Wrigleys charities team on Twitter here

The information in this article is necessarily of a general nature. Specific advice should be sought for specific situations. If you have any queries or need any legal advice please feel free to contact Wrigleys Solicitors




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Emma Ridge


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