From Bricks to Clicks: The Digital Revolution in Property Investing
Ryan Scott • 2 May 2025
Incorporation: The Smart Move for Modern Landlords
The UK’s property investment landscape is evolving, and landlords are adapting fast. Recent data from Companies House reveals a remarkable milestone: over 400,000 buy-to-let limited companies are now registered in the UK. This surge—led by a record-breaking 61,517 new incorporations in 2024 alone—reflects a growing trend of landlords seeking greater tax efficiency and financial control.
In fact, the number of buy-to-let companies has grown by 332% since 2016, according to research by Hamptons, outpacing every other industry sector. What’s driving this trend, and how can landlords make the most of it? Let’s explore why incorporation is booming, what responsibilities come with it, and how SBX Accountants can
help landlords thrive in this fast-changing environment.
Why More Landlords Are Incorporating
The main incentive behind this shift is tax optimisation. Operating through a limited company often allows landlords to pay corporation tax on profits instead of higher rates of personal income tax. This strategy can also offer greater flexibility for reinvesting profits and planning for the future.
But beyond tax savings, incorporation also provides a clearer structure for property businesses, particularly those with multiple properties or long-term growth ambitions.
The Increasing Need for Professional Financial Support
Managing rental income and staying compliant with UK tax law is no small feat—especially when juggling multiple properties, joint ownership, or property sales that may trigger Capital Gains Tax. Even sole-property landlords can face a maze of rules and reporting obligations.
That’s where having a knowledgeable accountant like those at SBX becomes essential. From accurate income declarations to expense deductions and tax-saving strategies, an accountant ensures landlords are fully compliant and financially efficient.
Making the Most of Allowable Expenses
There’s a wide range of deductible expenses that landlords can use to reduce their taxable profit—if they know what to claim. These include:
• Letting and management fees
• Repairs and maintenance
• Insurance premiums
• Ground rent and service charges
• Utilities (when paid by the landlord)
• Accountancy fees
Many landlords miss out on deductions simply because they don’t have the right support. With SBX Accountants, nothing slips through the cracks.
Get Ready for Making Tax Digital (MTD)
As the UK shifts to a digital-first tax system, landlords will need to comply with Making Tax Digital for Income Tax Self-Assessment (MTD for ITSA). This means:
• Digital record-keeping with HMRC-approved software
• Quarterly digital updates of income and expenses
• An End of Period Statement (EOPS)
• A Final Declaration submission
Key rollout dates:
• April 2026 – Landlords earning over £50,000 must comply
• April 2027 – Threshold drops to £30,000
• April 2028 – Applies to those earning £20,000+
SBX Accountants offers digital-first solutions, including cloud accounting tools like
Quickbooks, to help landlords meet these requirements effortlessly. It’s all included in our fixed-fee packages.
The SBX Advantage: Fixed Fees, Full Support
Many landlords assume hiring an accountant is costly—but in reality, a good accountant should save you more than they cost. At SBX, we offer transparent, fixed-fee packages with no surprise charges.
Here’s how we help landlords keep more of their money:
• Structuring your property business tax-efficiently
• Identifying deductions and reliefs you may have missed
• Helping you avoid late filing penalties or costly errors
• Providing financial health checks and Capital Gains Tax advice
• Including
Quickbooks software—saving you around £330 per year
Should You DIY or Go Pro?
If you’re confident with tax codes and deadlines, self-managing is possible—at least at first. But once your portfolio grows or your tax situation becomes more complex, DIY accounting can become a risky game.
An accountant doesn’t just manage the numbers—they provide peace of mind, improve cash flow, and help you make better strategic decisions. That’s why many successful landlords view accountants not as a cost, but as a key investment in their business.
Why Landlords Choose SBX
Whether you’re new to the buy-to-let market or an experienced landlord looking to
incorporate, SBX Accountants can guide you through every step—simplifying your tax affairs, boosting your profitability, and keeping you on top of regulation changes.
Switching to SBX is easy. If your current accountant isn’t giving you the service you deserve, we’ll handle the transition for you. Get a free quote by calling us on 020 7046 1730, or email at info@sbxaccountants.com
to talk to our advisory team.
Ready to Take the Next Step?
Whether you're considering incorporation, looking to maximise allowable expenses, or preparing for Making Tax Digital, having expert support is key. At SBX Accountants, we specialise in working with landlords at every stage of their property journey—offering clear advice, fixed fees, and hands-on support.
Want to know what it’ll cost?
Visit our
Landlord & Property Investor page for a full breakdown of our services and fixed-fee packages tailored specifically for property professionals.
Starting out as a sole trader can be an exciting step, but before diving in, it’s important to understand exactly what it involves. From legal responsibilities to financial obligations, there’s a lot to consider. At SBX Accountants, we break it all down so you can confidently manage your business and stay on top of your compliance.
The UK property market continues to evolve rapidly, presenting new challenges and opportunities for landlords. From stricter regulations to shifting tax policies and increasing costs, the buy-to-let sector is no longer the guaranteed win it once was. As we head deeper into 2025, it’s never been more crucial for landlords to partner with a dedicated property accountant who truly understands the complexities of property ownership, tax efficiency, and portfolio growth. At SBX Accountants , we specialise in helping landlords not only stay compliant but make smarter decisions with their investments. A Changing Property Landscape Owning rental property has long been viewed as a dependable way to build wealth — offering consistent income and long-term capital appreciation. The traditional belief was simple: buy property, hold onto it, and eventually reap the rewards either through rent or resale. But times have changed. With the rise in interest rates, removal of full mortgage interest relief, higher upfront taxes, and legislation like the upcoming Renters’ Reform Bill , landlords now face a far more complex and tightly regulated environment. Throw in rising maintenance costs and the increasing burden of digital reporting requirements, and it’s clear — this is no longer a hands-off investment. That’s where SBX Accountants steps in.
Tax codes play a vital role in the UK’s tax system, determining how much Income Tax is deducted from your wages or salary before it reaches your bank account. While they may seem like a confusing mix of numbers and letters, every element of a tax code has a specific purpose—and understanding yours is key to managing your income effectively. One of the most frequently used tax codes is 1257L. If you've spotted this code on your payslip or tax documents and are unsure what it means, SBX Accountants is here to help clarify how it affects your take-home pay, and when you might need to take action. What Does the 1257L Tax Code Mean? The 1257L tax code is currently the standard code for most employees in the UK. It reflects your entitlement to the Personal Allowance—the amount of income you can earn before paying Income Tax. "1257" indicates a tax-free allowance of £12,570 per year (1257 × 10). The "L" denotes that you’re entitled to the standard tax-free allowance with no deductions for benefits or previous underpayments. Your employer or pension provider uses this code to calculate how much tax to deduct through PAYE (Pay As You Earn), helping ensure the correct amount of tax is collected throughout the year.
