The Cladding Remediation Tax & Levy: Developers & Purchasers Take Note
Published date | 15 March 2021 |
Subject Matter | Real Estate and Construction, Tax, Construction & Planning, Real Estate, Property Taxes |
Law Firm | Cleaver Fulton Rankin |
Author | Mr Paul Tohill and Shane Conlan |
There has been much coverage in recent weeks around the government's '3.5bn worth of funding to fix dangerous combustible cladding on highrises in England.
What has not been reported on as widely, is exactly how the government is planning to recoup this funding, which is where a new tax on larger residential property developers from 2022 comes in. It is expected that this planned 'Cladding Remediation Tax' will raise around '2bn over 10 years, and will 'ensure the largest property developers make a fair contribution to the remediation programme in relation to the money they make from the residential property market'. In addition to the Cladding Remediation Tax, the government is expected to introduce a levy when developers seek planning permission for highrises.
Whilst these measures are set to apply in England, the issue of dangerous, combustible cladding on highrises is also of concern here in Northern Ireland. Although it remains to be seen, similar measures such as taxes and levies on...
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