REITS on the agenda, Brown says
Chancellor comfirms plans to introduce property owning investment vehicles, allaying fears that the plans had been dropped
Chancellor Gordon Brown has indicated that he plans to revive the idea of
introducing Real Estate Investment Trusts, in the first indication of what may
be in the pre-Budget report.
It was assumed that the Treasury had gone cold on REITS, amid fears of the
potential tax losses from foreign investors in UK property.
In an interview at the weekend, however, Brown indicated that REITS would
feature in his autumn statement.
Brown also suggested there would be an extension of tax breaks for company
In the interview Brown further hinted that there would be further initiatives
to increase savings, though did not give any detail. Brown’s policies, including
the controversial removal of the dividend tax credit for pensions, have been
widely criticised for the effect they have had on the savings industry.