UK Landlord Tax Index
New UK landlord limited companies rose 3.5x between 2016 and 2025
A quarterly, sourced read on how the tax system is reshaping UK buy-to-let: the number of landlords incorporating, set against the house prices that drive their stamp duty and capital gains exposure. Built entirely from official open data. Updated Mar 2026.
Key facts
- New buy-to-let limited companies (SIC 68209) rose from 19,688 in 2016 to 68,725 in 2025, a 3.5x increase.
- In the 12 months to Mar 2026, 94,367 UK property companies were incorporated across the four real-estate SIC codes.
- The trend tracks the phase-in of the Section 24 mortgage-interest restriction, which taxes individual landlords on finance costs that companies still deduct in full.
- The average UK house price was £268,132 in Mar 2026 (HM Land Registry UK House Price Index).
Source: Companies House and HM Land Registry, official open data. Figures may be cited with attribution to Property Tax Partners. The most recent 2 months of incorporation data are provisional (Companies House indexing lag) and are excluded from the figures above.
Landlord incorporations are climbing year on year
Each bar is the number of new companies incorporated that year under SIC code 68209, other letting and operating of own or leased real estate, the code most buy-to-let companies register under. Only complete calendar years are shown.
The monthly trend
The same measure month by month, which shows both the long climb and the usual seasonal dip around the turn of each year. The dashed tail marks the most recent 2 months, which are provisional because Companies House indexes very recent incorporations with a short lag.
By type of property company
The four real-estate SIC codes capture different kinds of property business. The figures below are for Mar 2026.
| SIC code | What it covers | New companies |
|---|---|---|
| 68209 | Other letting and operating of own or leased real estate | 6,228 |
| 68100 | Buying and selling of own real estate | 4,108 |
| 68320 | Management of real estate on a fee or contract basis | 1,710 |
| 68201 | Renting and operating of Housing Association real estate | 365 |
| All (deduplicated) | Unique companies across the four codes | 8,387 |
The house-price backdrop
Incorporation is partly a response to rising values: a bigger portfolio means a bigger capital gains and stamp duty exposure, which changes the maths on holding property personally versus through a company. Average prices by nation, from the UK House Price Index:
| Nation / region | Average price | Annual change |
|---|---|---|
| United Kingdom | £268,132 | 0% |
| England | £289,946 | -0.6% |
| London | £542,065 | -2.1% |
| Wales | £213,240 | 2.9% |
| Scotland | £186,582 | 1.6% |
| Northern Ireland | £198,015 | 7.4% |
Methodology and sources
Incorporations. For each month we query the Companies House Advanced Search API for companies incorporated in that month under each real-estate SIC code (68100, 68201, 68209, 68320), plus the deduplicated union across all four. Counts are gross: a company that has since been dissolved still remains on the register, so the series is not affected by survivorship. The most recent 2 months are provisional and excluded from headline figures.
House prices. Average prices come from the HM Land Registry UK House Price Index, the official measure for the UK and its nations.
Updated. Incorporations to Mar 2026; house prices to Mar 2026. Data generated Jun 2026.
- Companies House Advanced Search API (Companies House)
- UK House Price Index (HM Land Registry / ONS)
Download the incorporation data (CSV)
Free to cite with attribution to Property Tax Partners. This page is a data summary and not tax advice on any individual situation.
Wondering if incorporation is right for your portfolio?
The trend is real, but the answer is individual. It turns on your tax rate, mortgage levels, and the stamp duty and capital gains cost of transferring existing properties. Model your own numbers with our calculators, or tell us about your portfolio for a no-obligation review.
Frequently asked questions
Why are so many landlords setting up limited companies?
Since the Section 24 restriction on mortgage interest relief was phased in from 2017, individual landlords have been taxed on rental income without being able to deduct finance costs in full, receiving only a basic-rate (20%) tax credit. Companies are not subject to Section 24 and deduct mortgage interest in full, so higher-rate and leveraged landlords increasingly hold property through a limited company. That tax difference is the main driver of the incorporation trend shown here.
Where does this data come from?
Incorporation counts come from the Companies House Advanced Search API, counting companies newly incorporated each month under the four real-estate SIC codes (68100, 68201, 68209 and 68320). House prices come from the HM Land Registry UK House Price Index. Both are official, free, public sources. The figures are gross incorporations: dissolved companies remain on the register, so there is no survivorship bias.
What does SIC code 68209 mean?
68209 is 'Other letting and operating of own or leased real estate', the SIC code most buy-to-let companies register under. It is the closest single proxy for a landlord limited company, which is why we treat it as the primary measure, alongside the deduplicated union of all four property SIC codes as a wider 'all property companies' figure.
Should I move my rental properties into a limited company?
It depends on your marginal tax rate, mortgage levels, whether you reinvest or draw the income, and the stamp duty and capital gains tax cost of transferring existing properties. Incorporation suits some landlords and not others. Our incorporation and Section 24 calculators model your own numbers, and we can review your position directly.