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Written by Emma Lunn

The Residential Landlords Association (RLA) has warned that Labour’s plans for new controls in the private rented sector (PRS) would “critically undermine” the sector.

The RLA says that nearly 60% of housing stock created since 1986 has been in the private rented sector.

Analysis by the RLA of figures produced by the Department for Communities and Local Government has revealed that of the over five million new dwellings created between 1986 and 2012, 57% of these have been private homes to rent.

The RLA warns that despite calls by the Labour Party at their conference for a boost to the supply of homes, their policies announced last week would critically undermine the housing tenure that has made up the majority of new dwellings created over recent years.

The RLA says the extra regulations for the sector announced by Labour at last week’s conference would significantly damage the only sector that is boosting the supply of places to live.

Last week, shadow ministers announced plans for:
• A national register of landlords. This is despite the fact that the last Labour Government described a full register of this kind as “onerous, difficult to enforce and costly”.
• Rent controls. This is despite the last Labour government having launched a consultation which made clear that the last time rent controls were introduced they seriously undermined investment in the sector.
• Banning so called revenge evictions with costly new legislation. This is despite the fact that the Competition and Markets Authority has made clear that this is already illegal.

RLA chairman Alan Ward said: “The figures show that private landlords are the largest single investor group in the UK housing market. Without the increase in rented dwellings we have seen, the current housing crisis would be more like an Armageddon.

“Sadly Labour just does not get it on rented housing. Rather than supporting the sector to meet the ever growing demands being placed on it, shadow ministers are looking to make cheap political points by reaching for populist regulations without thinking through their consequences.”

Comments

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    Is it possible that Labour believe that if landlords don't buy the housing stock, they'll be available for homeowners to buy instead? That would decrease pressure on the rented sector.

    • 30 September 2014 09:36 AM
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    Absolutely right RLA.
    How difficult is it to understand that all this proposed legislation will make landlords give up, reduce the number of rental properties available, and therefore cause much greater pressure on the housing market.
    The previous article proves the point, the laws are in place, the councils are just not using them as robustly as they should. It took 4 years for the landlord to be fined....4 years!!!!
    The Councils all know who the bad landlords are because they are paying them benefits money every few weeks.....how hard is that to work out. Councils can do so much more without any more legislation, the thing is though , where will they put those people from the closed down properties.
    It is so tempting to offer ideas, but so naughty to say it.....why not build a container village on the edge of the towns, or a caravan park, tenants well cared for by social services and well policed, while the town centre areas are re-gentrified. Over time the tenants are found non- central ghetto, permanent rented housing where they can integrate into the normal population and behave in an acceptable manner or go back to the caravan park.

    • 30 September 2014 09:28 AM
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