Section 24 is no longer news. But its effects compound year after year, and for owners now approaching or in retirement, those effects are reaching a tipping point.
The arithmetic has changed
Mortgage interest is no longer a deductible expense for individual landlords; it is a 20% tax credit. For a higher-rate taxpayer holding leveraged stock, that single change can turn a comfortable yield into a thin one, and a thin one into a loss.
Combine that with higher interest rates, tighter EPC requirements, and rising compliance costs, and the portfolio that comfortably funded a lifestyle in 2015 may now be funding HMRC and the lender far more than it funds you.
Why incorporation isn't always the answer
Moving a portfolio into a limited company is sometimes presented as a fix. For some owners, it is. For many at retirement age, the stamp duty cost, CGT exposure on transfer, and the years of corporate admin that follow simply do not justify the move.
An exit is not a defeat. For a 68-year-old who has already done the hard work, releasing equity into liquid, manageable form, and stepping away from a tax regime designed for the next generation of landlords, is often the cleaner answer.
What to model before you decide
Before any conversation about selling, sit with your accountant and model three scenarios over the next ten years: keep and refinance, incorporate, and exit in full. Look not just at the headline numbers but at your time, your stress, and what you actually want to be doing in 2035.