Property Accounting Industry Trends to Watch in 2025

As we move further into 2025, accounting practices, processes and trends continue to evolve at an unprecedented pace. For landlords and property investors across the UK, keeping abreast of evolving accounting industry trends is pivotal to helping them maximise their returns, protect their investments and maintain compliance in an increasingly complex market.

At IWN Accountancy, we’re fully committed to helping our clients confidently navigate any market trends and shifts to ensure the safety and stability of their portfolios. Here is a rundown of noteworthy trends and accounting industry news updates that could influence your financial and investment strategy in the coming months.

 

Further Digital Transformation

When exploring the latest news in accounting, specifically concerning property-related transactions and dealings, to say that technology is proving increasingly influential would be a huge understatement.

Cloud accounting software is nothing new, becoming a staple for accounting firms across the UK. However, the year(s) ahead present more sophisticated digital challenges and solutions for property owners and investors.

One of the most striking is property-specific accounting platforms, boasting real-time insights into occupancy rates, rental yields, compliance certification, and maintenance costs. These platforms can integrate seamlessly through financial and banking systems, and this market is poised for substantial growth in 2025.

For buy-to-let landlords, this warrants complete top-level visibility of your portfolio’s performance without waiting for quarterly reviews. Automated rent payment reconciliation, profitability analysis and digital receipt capture are all now possible and accessible from a single device, giving landlords much more control over their investments and day-to-day responsibilities.

 

Continued Influence of Artificial Intelligence (AI)

AI is revolutionising how landlords approach tax planning. AI systems can analyse property portfolios to identify potential saving opportunities that may have otherwise been overlooked.

These systems can also:

• Automatically categorise expenses against the latest HMRC guidelines for property businesses
• Predict optimal timing for maintenance expenditure to maximise tax relief
• Suggest property improvement works that qualify for enhanced tax treatments
• Model different ownership structures (personal, limited company, partnership) to identify the most tax-efficient approach

While AI cannot adequately replace the competency, logic and emotional reasoning of professional accountants, they don’t have to. These tools empower firms like IWN Accountancy to provide more strategic, data-driven advice. Our approach is to thoughtfully and methodically integrate AI in the right doses, dedicating sufficient time and control in helping you structure your property portfolio for maximum tax efficiency.

 

Regulatory Changes for Property Sector

Property investors in the UK must be well aware of some forthcoming accounting industry trends and regulatory changes coming into effect in 2025, if not already implemented.

This includes (but is not limited to):

• Making Tax Digital (MTD) for landlords will become compulsory if property income exceeds £50,000 annually. This is mandatory from April 2026 onwards.
• Sustainability reporting requirements for larger portfolios – the UK government will consult on drafts of UK SRS (Sustainability Reporting Standards) in the coming weeks, aligning with international standards to improve disclosure accuracy.
• From April 2025, landlords face an SDLT increase due to the nil-rate threshold dropping to £125,000 and the reintroduction of a 2% standard rate up to £250,000, layered atop the 5% surcharge. This typically adds £2,500 to SDLT for properties above £250,000, though the exact rise depends on the price and buyer type. The changes make investment properties costlier, potentially affecting rental yields or purchase decisions.
• The Leasehold and Commonhold Reform Bill and Renters’ Rights Bill will be passed into law in 2025, the former affecting property ownership structures and the latter abolishing ‘no fault’ Section 21 evictions along with making tenancies periodic, among other notable changes.

Navigating these changes requires professional, tailored advice and guidance. At IWN Accountancy, we’re constantly keeping tabs on industry regulations to ensure our clients remain compliant while maximising available tax reliefs and allowances.

 

Sustainability Accounting

Environmental considerations are increasingly affecting property accounting, and developments are regularly occupying accounting industry news headlines. In 2025, we’re seeing a greater emphasis on:

• Tax incentives for energy-efficient property improvements
• Enhanced reporting requirements for property energy performance
• Financial modelling that incorporates future environmental compliance costs
• Valuation adjustments based on property sustainability metrics

Additionally, from December 2025, all newly rented properties must have a minimum EPC (Energy Performance Certificate) rating of C or higher, which is up from the current minimum of EPC rating of E.

Landlords and investors should strive to incorporate these factors into their strategic financial planning. IWN Accountancy’s property accountants can help you assess the financial implications of sustainable investments and identify relevant, available grants and tax incentives.

 

Coming Soon… IWN Analytics – Consult With IWN for Strategic Property Investment Advice

Nowadays, property investors – regardless of the scale of their portfolios – need strategic, forward-thinking partners who understand their immediate and future accounting needs, as well as evolving industry regulations and property market trends.

IWN specialises in helping landlords in the UK make informed, data-driven decisions regarding portfolio expansion, consolidation, financing options, acquisitions, succession planning, tax-efficient structures for family property portfolios, and much more.

Therefore, it’s fair to say that we represent more than just a partner who balances your accounts receivable and payable. We take the time to understand your long-term property investment goals and help you develop bespoke, achievable strategies to achieve them. Our team of chartered certified accountants in Bournemouth combines in-depth property expertise and experience with innovative digital tools to provide you with actionable, real-time insights and tailored guidance.

Keep an eye out for upcoming news on IWN Analytics soon, providing further insights into how our advanced analytics solutions can support property investors in making smarter financial decisions…

Whether you’re managing a single buy-to-let property or an expansive portfolio, we’re here to help you make strategic, important decisions with reassurance and confidence so you can maximise your returns in 2025 and beyond. Contact us today to discuss how these accounting industry trends might affect your current and future property investments and how we can help you stay ahead of the curve.