Last year saw significant housing reforms for renters and homebuyers – here’s a recap of what you need to know. Change to renters’ rights The Renters’ Rights Act received Royal Assent in October 2025 and will come into force in three phrases this year. The initial phase of the rollout in May will include the much-awaited end to Section 21 ‘no fault’ evictions in England. Plus, all fixed term tenancies will automatically convert to periodic tenancies. Scotland rent controls Scotland has also seen reforms for renters. Local authorities will be able to designate Rent Control Areas, where there will be a cap on how much landlords can raise rent. Plus, councils will be required to act sooner to prevent homelessness. Stamp Duty changes In April 2025, Stamp Duty thresholds reverted to their higher level in England and Northern Ireland. First-time buyers now have to pay the tax on homes above £300,000 and other buyers will be charged on properties over £125,000. Reforms in Wales Legislation is underway to improve the safety of tall buildings and houses in multiple occupation. Also, the Homelessness and Social Housing Allocation (Wales) Bill plans to improve access to housing support. Your home may be repossessed if you do not keep up repayments on your mortgage. Sources: https://www.propertyreporter.co.uk/what-2025-housing-reforms-mean-for-renters-and-homebuyers-across-the-uk.html

End of year statistics for 2025 offer some reasons to be optimistic about the housing market. According to Zoopla, house sales for 2025 hit 1.2 million, the highest level for three years. First-time buyers showed growing confidence as they accounted for 39% of transactions last year. Meanwhile, house prices lagged last year, with the average house valued at £270,300 at the end of 2025. This is up 1.1% on the previous year but is lower than the 10-year average of 3.8% growth. Zoopla expects prices to rise by 1.5% in 2026 while Rightmove’s outlook is more positive, at 2%. Richard Donnell as Zoopla commented, “We expect a stronger 2026 as buyers return to the market, with more homes for sale.” Your home may be repossessed if you do not keep up repayments on your mortgage. Sources: https://www.mortgagestrategy.co.uk/news/house-sales-hit-three-year-high-says-zoopla/

Do you know what your belongings are really worth? It can be easy to underestimate their value, which could leave you underinsured. Home contents insurance protects your possessions and furniture against theft, fire and other unfortunate events. When taking out cover, you are usually asked to estimate how much it would cost to replace all the contents in your home. But when was the last time you took stock and assessed this? If you’ve recently bought new gadgets or received an expensive Christmas gift, you may need a higher level of cover. Equally, if you have sold some items, you may be paying for more cover than you now need. A professional adviser can help ensure you have taken into account all your belongings. As with all insurance policies, conditions and exclusions will apply.

Recent tax changes have prompted some to reevaluate their reliance on pensions for wealth planning. Amidst this uncertainty, life insurance could provide some peace of mind for those looking to protect their family’s future. Salary sacrifice changes In the Autumn Budget 2025, Chancellor Rachel Reeves announced changes to salary sacrifice for pensions from April 2029. Currently, an employee can agree with their employer to give up part of their salary and, in return, their employer will pay the same amount into their pension. At the moment, this employer pension contribution is exempt from National Insurance Contributions (NICs) for both the employer and the employee. Salary sacrifice has therefore often been seen as a reliable way to reduce tax liabilities while boosting retirement savings. However, from 6 April 2029, NICs will apply on contributions above £2,000 per year. Unused pension funds As part of the Autumn Budget 2024, it was announced that most unused pension funds will fall within the value of a person’s estate for Inheritance Tax (IHT) purposes. This measure was introduced because the government identified that many savers were using their pension pot to transfer wealth instead of funding their retirement. The changes will come into effect on 6 April 2027, so those who had incorporated their unused pension funds into their tax planning are likely to be reconsidering their options. Benefits of life insurance The above tax measures have highlighted the precarity of using pensions for intergenerational planning. Some families may therefore be turning to life insurance to offer some certainty. Life insurance provides financial support to your loved ones when you die. You can choose the level of cover you need based on a range of factors including your dependents, salary, mortgage and other bills. Writing your life insurance policy in trust ensures that the payout is not considered as part of your estate, so it is not subject to IHT. Claims can be paid before probate is granted, enabling your beneficiaries to access the money swiftly. It is therefore a crucial way of safeguarding your family’s future. Time to revisit your protection requirements? We can help you source a life insurance policy that is tailored to your specific needs and family circumstances. There are a range of trusts to choose from, and we can advise on the most appropriate option, ensuring your cover remains effective, tax-efficient and aligned with your wider financial plan. As with all insurance policies, conditions and exclusions will apply. Your home may be repossessed if you do not keep up repayments on your mortgage. Sources: https://www.ftadviser.com/content/a724d36a-6636-4b53-bcd2-5d354ef62fac

Do you know the difference between life insurance and income protection? Life insurance Life insurance pays out a lump sum to your loved ones if you die during the policy term. You could either be covered for a fixed length of time (such as 10 or 25 years), or for the whole of your life. It’s sensible to get cover if you have any dependents because life insurance could help them to stay living in your home if you pass away. Income protection Income protection provides a portion of your income if you are unable to work due to illness or injury. The insurer will make monthly payments to you until either the term ends, you die or return to work. There will usually be a waiting period before you can start receiving payments. Income protection is recommended if you would struggle to cover essential living expenses if you were unable to work - for example, if you are self-employed, have limited savings or are the sole earner in your household. Do I need both? Income protection provides you with support during your lifetime, while life insurance safeguards your family in the event of your death. Both policies can offer peace of mind that you and your loved ones will be protected in times of need. As with all insurance policies, conditions and exclusions will apply. Sources: https://www.legalandgeneral.com/insurance/life-insurance/definitions/life-insurance-vs-income-protection/