James Todd & Co, a West Sussex-based business accountancy expert, has highlighted the crucial need for reliable, independent support for property sector businesses. It notes that recent reforms and future changes following the change in government make accounting expertise vital to informed business planning.
The firm, which specialises in commercial accounting services for established and larger companies and corporations, cautions against complacency, noting that even amid improvements to interest rates, contractors, landlords, developers, and investors must remain agile to achieve long-term success.
Potential Property Sector Changes and Reforms From 2024 Onward
In efforts to improve awareness of the importance of astute financial management in the property space, James Todd & Co's accredited, experienced accounting team has pinpointed several areas within the governmental manifesto that may be relevant to real estate clients.
Audit and Assurance Director, Oliver Read FCCA ACCA, of James Todd & Co. says, ‘Although much remains to be seen, we’d recommend all businesses that trade within or are linked with the UK property sector take a proactive stance in recognising potential changes to regulations, compliance and tax liabilities that could have a meaningful impact.
Some commitments or pledges may present a great opportunity, such as investments in affordable housing, which could appeal to contractors and construction businesses, particularly those who have already invested in their infrastructure and skills to provide greener and more energy-efficient processes and construction techniques.
Others may require more in-depth planning, such as the proposed stricter regulations and changes to property taxation, including the mention of higher tiered stamp duty rates, which might be something investors and renovation specialists need to factor into their forecasts.
These headline announcements have yet to be put into force. Still, it is likely that any new policies related to the rental sector, property developments or regulations will affect the profitability of some investments or construction schemes and the overall value of real estate.
Rather than waiting to see, we suggest that all property businesses and professionals seek guidance from an accomplished, knowledgeable accountant or adviser to ensure their business is stable, agile enough to cope with reforms, and not exposed to significantly higher costs or tax burdens when changes take place.’
General Advice for Property Sector Businesses and Investors
Oliver goes on to clarify that 'Even though there is still uncertainty about which proposals will be taken forward, acting now to consider decisions around retaining or selling real estate assets, the timing of planned acquisitions, or investments in property improvements is a balanced way to prepare your property business for reforms.’
The accountancy firm is also keen to highlight that relevant services extend beyond everyday accounting and tax management matters, which many property sector businesses assume are their accountant's primary or sole services.
Oliver explains, ‘We focus on sustainability and future-proofing real estate clients' businesses. We review business plans closely and in light of potential or likely reforms, changes to tax legislation, or reporting requirements that may have a tangible impact.
Our role is to act as your long-term partner, getting to know your business, aspirations, and stumbling blocks and lending our expertise in the sector to help you make informed, pre-emptive, and secure decisions.’
Governmental Proposals for Property Sector Reforms
This advice is based on the information provided by the Labour Party during and following the recent General Election. The newly formed government has stated that it intends to stabilise property prices, broaden market participation, and increase the supply of sustainable, affordable housing.
While some businesses could benefit from new initiatives, incentives, and schemes, strengthening business plans ahead of reforms or taking a step back to analyse vulnerabilities within the company may be beneficial in the long term.
Property professionals and businesses keen to learn more can access detailed information about property sector accounting and financial advisory services through the James Todd & Co website.
Read more about James Todd & Co - Leading West Sussex Audit Specialist, James Todd & Co, Reports Substantial Increases in Demand for Audit Services
About James Todd & Co
James Todd & Co have been providing accounting services for more than 30 years across Chichester, Fareham, and Portsmouth for businesses across the South East. Their clients trust them to provide bookkeeping, financial auditing and compliance, management accounting and financial advisory services.
Media Contact:
Oliver Read
James Todd & Co
01243 776938
***
Source Company: https://www.jamestoddandco.co.uk/
