The prospect of more investment in Buy To Let as a result of pension changes announced in the Budget has led to renewed calls for agents to be more formally regulated.
From April 2015 savers will be able to access all of their savings at any time after they reach 55. So in theory they can pull down all of their savings in one go - with the first 25 per cent exempt from taxation and the remainder taxed at the saver's marginal rate - or they can withdraw savings at regular intervals, or they can still buy an annuity.
As a result of this more flexible approach to pensions, many agents and mortgage brokers believe people will increasingly turn to Buy To Let to provide income in later life.
Agents will become guardians of peoples' pensions. You will need to think seriously who you hand your future to says Ed Mead of London letting and estate agency Douglas & Gordon.
The issue will become more acute if a campaign, led by prominent BTL broker Paragon Mortgages, leads to BTL property being included in Self-Invested Pension Plans, which will effectively means rental income becomes low- or no-tax income.
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