BPF warns that brownfield tax relief is 'too narrow'

The British Property Federation (BPF) has warned the government that proposals for tax relief designed to bring more brownfield land back into use are "too narrow".

In a letter to the Treasury, the BPF said that the relief was "limited" with too many caveats to have any real effect.

It said it wanted to see new legislation that recognises the wider range of costs of developing brownfield land.

The Federation said that under current proposals it would be difficult to claim relief, as it applied only to expenditure "directly linked to the site", "only required on derelict sites" and "of such a scale as to present genuine blockage to development".

Sole traders or individuals co-operating in partnership would also be barred from claiming relief, as would non-UK resident property owners.

BPF director for finance and investment Gareth Lewis said: "The new proposals must be well publicised to the industry and the benefits of the system must be tangible and easily claimed. This will significantly improve the incentive offered to owners of derelict land."