The chief executive of the National Residential Landlords Association says the devil is in the detail when it comes to the government’s rental sector reform proposals – but that they must win over the support of landlords.
Ben Beadle says: “Whilst headline commitments to strengthening possession grounds, speedier court processes and mediation are helpful, the detail to follow must retain the confidence of responsible landlords, as well as improving tenants’ rights.
“We will be analysing the Government’s plans carefully to ensure they meet this test. A failure to do so will exacerbate the housing crisis at a time when renters are struggling to find the homes they need.
“The eventual legislation needs to recognise that government actions have led to a shortage of supply in the sector at a time of record demand. It is causing landlords to leave the sector and driving up rents when people can least afford it.”
At first sight today’s proposals by government look like a massive swing of power towards tenants.
It will ban Section 21 evictions and extend the Decent Homes Standard to the sector.
It will also end what it calls “arbitrary rent review clauses, give tenants stronger powers to challenge poor practice, unjustified rent increases and enable them to be repaid rent for non-decent homes.”
It will be illegal for landlords or agents to have blanket bans on renting to families with children or those in receipt of benefits.
And it will make it easier for tenants to have pets, a right which the landlord must consider and cannot unreasonably refuse.
All tenants are to be moved onto a single system of periodic tenancies, which in the government’s words mean “they can leave poor quality housing without remaining liable for the rent or move more easily when their circumstances change.”
A tenancy will only end if a tenant ends or a landlord has a valid reason, defined in law.
There will be a doubling of notice periods for rent increases and tenants will have stronger powers to challenge them if they are unjustified.
The government says it is also “giving councils stronger powers to tackle the worst offenders, backed by enforcement pilots, and increasing fines for serious offences.”
There will also be a new Private Renters’ Ombudsman to enable disputes between private renters and landlords to be settled quickly, at low cost, and without going to court.
What the government calls “responsible landlords” will be able to gain possession of their properties efficiently from anti-social tenants “and can sell their properties when they need to.”
There will be a new property portal that will “provide a single front door to help landlords to understand, and comply with, their responsibilities as well as giving councils and tenants the information they need to tackle rogue operators.”