The National Landlords Association (NLA), UK representative body for landlords, has urged private-residential landlords to use the Landlord’s Energy Saving Allowance (LESA). This is a tax break allowing landlords to claim on their tax return against the cost of buying and installing energy saving items.
Landlords are able to claim a maximum of £1,500 per property against the cost of installing draught proofing, loft insulation or insulation for hot water systems. For example, if a landlord installed insulation at a cost of £1,500 the saving could be as much as £600 for higher rate income tax payers and £300 for those who pay basic rate income tax.
David Salusbury, chairman at NLA, said,
“The NLA encourages its members to invest in maintaining and improving the quality of their properties. LESA is a welcome incentive for landlords, to persuade them to make the necessary energy efficiency improvements.
“As well as contributing to the overall efforts by society to combat climate change, landlords may see an increase in the value of their investment as a result. We are pleased that the Government has chosen to offer incentives, instead of regulation, and would urge landlords to use the tax break or, perhaps risk losing it in the future.”