x
By using this website, you agree to our use of cookies to enhance your experience.
Graham Awards

TODAY'S OTHER NEWS

Section 21 scrapped as Gove hands rental power balance to tenants

The government’s new Levelling Up White Paper includes a dramatic reshaping of the private rental sector.

Section 21 eviction powers will be removed from landlords and Housing Secretary Michael Gove says this will “end the unfair situation where renters can be kicked out of their homes for no reason.”

In addition all homes in the private rental sector will have to meet a minimum standard to be known as the Decent Homes Standard. 

Advertisement

The White Paper does not stop there. It adds: “We will consult on introducing a landlords register, and will set out plans for a crackdown on rogue landlords – making sure fines and bans stop repeat offenders leaving renters in terrible conditions.”

No explicit reference is made to a national landlord register, mentioned earlier this week in a government leak about today’s announcement.

There’s more - the government says home ownership will be boosted via a new £1.5 billion Levelling Up Home Building Fund being launched, which will provide loans to small and medium sized developers and support the government's wider regeneration agenda in areas considered a priority for levelling up. 

The government is also committing to build what it calls “a more genuinely affordable social housing.” A new Social Housing Regulation Bill will be introduced following the Grenfell tragedy in 2017.

The ‘80/20 rule’ which leads to 80 per cent of government funding for housing supply being directed at ‘maximum affordability areas’ – in practice, London and the South East – will be scrapped, with much of the £1.8 billion brownfield funding instead being diverted to transforming brownfield sites in the North and Midlands. Metro Mayors will be allocated £120m of this funding. 

The whole Levelling Up White Paper is vast and far-reaching with 12 so-called missions, given legal status in a flagship Levelling Up and Regeneration Bill. This will “shift government focus and resources to Britain’s forgotten communities throughout the 2020s.”

Here are the 12 missions:

1. By 2030, pay, employment and productivity will have risen in every area of the UK, with each containing a globally competitive city, with the gap between the top performing and other areas closing;

2. By 2030, domestic public investment in R&D outside the Greater South East will increase by at least 40% and at least one third over the Spending Review period, with that additional government funding seeking to leverage at least twice as much private sector investment over the long term to stimulate innovation and productivity growth;

3. By 2030, local public transport connectivity across the country will be significantly closer to the standards of London, with improved services, simpler fares and integrated ticketing;

4. By 2030, the UK will have nationwide gigabit-capable broadband and 4G coverage, with 5G coverage for the majority of the population;

5. By 2030, the number of primary school children achieving the expected standard in reading, writing and maths will have significantly increased. In England, this will mean 90% of children will achieve the expected standard, and the percentage of children meeting the expected standard in the worst performing areas will have increased by over a third;

6. By 2030, the number of people successfully completing high-quality skills training will have significantly increased in every area of the UK. In England, this will lead to 200,000 more people successfully completing high-quality skills training annually, driven by 80,000 more people completing courses in the lowest skilled areas;

7. By 2030, the gap in Healthy Life Expectancy between local areas where it is highest and lowest will have narrowed, and by 2035 HLE will rise by five years;

8. By 2030, well-being will have improved in every area of the UK, with the gap between top performing and other areas closing;

9. By 2030, pride in place, such as people's satisfaction with their town centre and engagement in local culture and community, will have risen in every area of the UK, with the gap between the top performing and other areas closing;

10. By 2030, renters will have a secure path to ownership with the number of first-time buyers increasing in all areas; and the government’s ambition is for the number of non-decent rented homes to have fallen by 50 per cent with the biggest improvements in the lowest performing areas;

11. By 2030, homicide, serious violence, and neighbourhood crime will have fallen, focused on the worst-affected areas;

12. By 2030, every part of England that wants one will have a devolution deal with powers at or approaching the highest level of devolution and a simplified, long-term funding settlement.

Levelling Up Secretary Michael Gove says: “The United Kingdom is an unparalleled success story. We have one of the world’s biggest and most dynamic economies. Ours is the world’s most spoken language. We have produced more Nobel Prize winners than any country other than America.

"But not everyone shares equally in the UK’s success. For decades, too many communities have been overlooked and undervalued. As some areas have flourished, others have been left in a cycle of decline. The UK has been like a jet firing on only one engine. 

"Levelling Up and this White Paper is about ending this historic injustice and calling time on the postcode lottery.

“This will not be an easy task, and it won’t happen overnight, but our 12 new national levelling up missions will drive real change in towns and cities across the UK, so that where you live will no longer determine how far you can go.”

And beleaguered Prime Minister Boris Johnson adds: “From day one, the defining mission of this government has been to level up this country, to break the link between geography and destiny so that no matter where you live you have access to the same opportunities.

“The challenges we face have been embedded over generations and cannot be dug out overnight, but this White Paper is the next crucial step.

“It is a vision for the future that will see public spending on R&D increased in every part of the country; transport connectivity improving; faster broadband in every community; life expectancies rising; violent crime falling; schools improving; and private sector investment being unleashed.

“It is the most comprehensive, ambitious plan of its kind that this country has ever seen and it will ensure that the government continues to rise to the challenge and deliver for the people of the UK.”

Want to comment on this story? If so...if any post is considered to victimise, harass, degrade or intimidate an individual or group of individuals on any basis, then the post may be deleted and the individual immediately banned from posting in future.

  • icon

    I bought my first investment property back in 1983 and would only let it to American service personnel as I knew they would not be there indefinitely. It was only a few years later when the equivalent of section 21 was introduced that I was prepared to rent to others. I have never evicted or used section 21, leaving my tenants to leave whenever it suited them. However, if section 21 is being taken away then I will take my property back before it happens, I will not be dictated to regarding my property like that. So much for this sham of a government, they certainly are not Conservative. Reform UK get my votes in future.

    icon

    Scotland banned landlords and tenants from agreeing mutually acceptable fixed length tenancy in December 2017.

    I stopped renting to families and now get 30% more rent from students and young professionals.

    This change is harmful to decent families and only helps rogue tenants.

     
  • icon

    Quote: "“The United Kingdom is an unparalleled success story. Ours is the world’s most spoken language."
    I never realised that the United Kingdom had its own language.
    That would explain why so many people refer to a "British accent", which always infuriated me because of their ignorance in not knowing that the UK is actually 4 separate countries. Now, I realise that it is me who is ignorant. We live and learn, eh? Thank you, Mr. Gove, for educating me.

    icon

    We are not,4 separate countries or nations. The clue is in the name!

    That said we are very diverse, perhaps too diverse to live in harmony? But how many families live in harmony?

     
  • icon

    Thank you Mr Gove you are very generous with tax pay money, just another £1.5b for the big Developers I knew what they were doing was not sustainable. Government will not let them fail keep throwing money at them, keep rubbing butter on fat pigs bum.
    I knew it was only a matter of
    time before we got Nationalised and this is it what else is it.

  • icon

    Is this Mr Michael Gove or Mr John McDonnell I can’t tell to different.

  • icon

    Johnson scrabbling to win back the voters in the upcoming local elections to keep his job

    Just Mogler

    Win some...Loose Many! Reform here we come. April (new capital gain tax period) can't come soon enough.

     
  • George Dawes

    13 . By 2030 The government will own your property and you'll be happy - or else

  • icon

    As the balance shifts towards tenants, rent controls are becoming more imminent. This policy change, if implemented, will reduce investment in quality housing and condition of housing will deteriorate as landlords will not have any money left to refurbish properties. There will be a shortage of properties to rent and it will be a NY type situation where people will be on waiting list for years. Not good!!

    icon

    Exactly. It’ll be right back to the 1980s and the conditions that led to S21 and the 1988 HA in the first place! The utter fools.

     
  • George Dawes

    They should rename it from conservative to communist party

    icon

    commiservatives. This should level up there majority next election. by the sounds of things on here many landlords me included will be helping.

     
    icon

    Hi George.
    We have that party here in Wales with Welsh Liebour and the politburo down in Cardiff Bay.

     
  • Yvette Graham

    The thing is that what they forget is that the mortgage companies give mortgages to BTL landlords on the basis that if everything goes wrong they can gain vacant possession and take back the houses/sell them to get their money back ……so we won’t be able to have the mortgages and provide the houses if we can’t secure vacant possession…..idiots

    icon

    Big business friends of Govt. will be given special clauses…

     
  • Ferey Lavassani

    The life tenancy is on its way back, through the back door.

  • icon

    Protection for Tenants and unpaid rent for Landlords

    icon

    I liked your comment because I agreed with it, not because I like the concept.

     
  • icon

    There was a tenant on You and Yours on Radio 4 last week (a woman with what I think was a South African accent) complaining bitterly because her landlord had served a S21 as he was changing to holiday lets. She was stating that S21 absolutely must go but at the same time was complaining how much harder it is for her to find alternative accommodation compared to a few years back. She is working part time and on benefits. The irony of demanding the abolishment of S21 and in the same breath complaining that it's hard to find somewhere to live was comical.

    icon

    Part time and on benefits, there was a time I might have considered her, not now though, just too risky

     
  • icon

    Rogue Regulators again having a laugh, how many times have it been said buying a property one of the biggest decisions of your life. Roll on save a huge Deposit sign up and tie a noose around your neck for 25 year loan, pay tax on your investment, pay tax on loan interest, pay the Tenant for protection their Deposit, pay insurance Company to Insure it, pay Rogue Council’s for licensing Schemes, pay Accountant fees + vat, pay letting Agents + vat, pay Solicitors + vat, pay electric man for annual & 5 yearly Certificate’s, pay gas man for break downs and annual Service, pay for EPC & up grading, pay for ICO’s, pay for right to rent, etc lots more. So let me get this right you do all this & more including removing the rubbish they have thrown in the back garden. Then a guy comes in off the Street takes up occupancy with no in-put whatsoever and you are required to hand over your property to him and the right to remain indefinitely. How can a Government become so infested with morons.

  • icon

    STAMP DUTY LAND TAX special treatment for landlords er’

  • icon

    Could someone around these people tell them that they are the ones creating issues in the Housing Sector?
    They created the problem with CLADDING through lackadaisical oversight functions. They introduced sit-tight for tenants even when they are owing
    They are scraping s21 and portraying landlords as villains instead of treating them as partners for the interest of the people that they claim to be protecting.
    They introduced "DO NOT PAY" to tenants during the lockdown and placed "YOU CAN NOT EVICT" on landlords. Yet they are jaundiced and MUTE on the landlords that are owed and equally not interested in the banks that need their mortgage repayment.
    IS THIS A GOVERNMENT OR LADS MOCKING ABOUT WITH SERIOUS MATTERS?

  • icon

    We knew s 21 was going, so now more than ever before vet prospective tenants very carefully, guarantors where ever possible and read Jim's book on evicting with s 8

  • Matthew Payne

    This is no more than a pre manifesto pledge, 2024 electioneering has started already, 2 years out is normal, so I wouldnt advise anyone lose any sleep over the sensational LT headline, all 2030 ambitions. George Osborne announced a similar plan in 2014 in the run up to the 2015 GE, and most of it either never made it off the paper he read it off, or it was cancelled, and none of this lot will be around for much longer even if its a new Tory government in 2024. Bear in mind S21 was supposed to be going last year in the renters reform bill that has been fanfared several times by several housing ministers in the last few years. Cancelled with this announcement.

    8 years is several lifetimes in politics, so lets sit back and see, and this government is prone to a fruity uturn or two, or dare I say the odd white lie? All that said, it is a senisble timescale to look to abolish Section 21, as there is an entire Court system to overhaul and test, and that cant start until the covid backlog has been dealt with. I would rather that, than it was rushed through like everything else.

  • icon

    The 12 Missions are just a whimsical wish list as were the musings of Heather Wheeler.

    "Ensuring that everyone has a decent, affordable, secure home is a key priority for this Government. That is why we have made a commitment to halve rough sleeping by 2022 and end the practice altogether, and why we are dedicated to preventing people from becoming homeless in the first place. It is simply unacceptable that people have to sleep on the streets in 2019. That does not reflect the country we want to be and I am determined to put a stop to it." Heather Wheeler, 2019, Hansard

  • icon

    2030 I shall turn 76, if I'm still here and still a landlord, I doubt I'll be too much bothered, my properties can sit empty selling one off per year, that'll see me out, I'm so glad I'm not a youngster in this country.

  • icon

    Life time Tenancies but they can walk away anytime they like. Unfair Contracts the Contract should apply to both parties not just one which is what’s being proposed here.

    icon

    I like the rolling contract. Tenant gives 2 months notice, LL gives 3 months notice. Simple. I don't think you can have these anymore.

     
  • icon

    Welcome to the FOURTH REICH

  • icon

    Sell sell sell.... That's my answer to the problem... I'm out!

    Zoe S

    Hefty CGT to sell, they get us which ever way to turn!

     
  • icon
    • 02 February 2022 10:40 AM

    Keep harassing landlords, soon there won't be many left and the government won't be bothered to sort out the housing shortage. So this means that prices will go up. Enjoy you filthy parasites, karma is a b*****

    icon

    There was a report a few weeks back that said something like 240k landlords have left the sector in the last few years. Ha, just the beginning me thinks.

     
  • icon

    Very unfair as one rule for landlords and other for tenants.
    There should the national register for tenants too so landlords don't get trapped with rough tenants who have left previous property leaving landlord in massive financial loss and such a emotional state.

    I rented a place to some years ago to graduate, young entrepreneur, who gave the speech at the conservative conference party. He was ok for a few years then he did not pay the rent and destroyed my home too.
    So where is the help for good landlords and how government is going to support fianacial loss of landlords. There are so many landlords who created the full time job for them selves.

    icon

    I've been wondering for a while if its possible to set one up. Have it as a precondition of renting that the tenant has to agree to register.
    You could remove any subjectivity by agreeing that only rent payment dates and withheld deposit are logged. It'd be a start.

     
  • icon

    Government appears to be doing all it can for tenants and nothing whatsoever for landlords - fine to have a landlords register but what about a tenants register - I was recently forced to give a good reference for some appalling tenants,otherwise they would not have been able to rent another property and I would not have been able to reclaim the house - this on the advice from an agent - but I felt dreadful,in effect,deceiving any new landlord.

    icon

    Sorry Hugh you weren't forced to offload your problem to another landlord. That was your choice.

     
    icon

    I did something similar some yrs back, the tenant would give me a cheque for the rent, then she would stop the cheque rather than going overdrawn, this of course bought her time, the first I would know about it was when my bank posted the cheque back to me, then she would arrange to meet me outside her place of work on her payday lunch hour, so when she asked me for a reference I chose my words carefully simply saying that the rent was always paid, which of course it was, I didn't feel great about it but I was so pleased to see the back of her, she also left me with broken furniture and rubbish to clear, but hey the fat cow was gone.

     
  • icon

    I've been thinking of selling up and investing in Portugal instead for some time. This might be the push I need.

  • icon

    Your Article 20th July 2021. Generation Rent were calling for a Ban on all Section 24 Evictions.
    They didn’t even know the difference between Section 24 and Section 21.
    Now they have the ear of the Government and publishing Government decisions even before the Housing Secretary Mr Michael Gove has the opportunity to announce them. That’s the amount of corruption, collusion and conspiracy that is going on, we are ignored what does it matter about us, we are only the owners.

  • David Saunders

    I'm trying to look on the bright side but this government policy is almost identical to a 1970s Labour government policy, which needless to say was and likely will be shortly followed by introduction of rent controls. It produced an explosion of sitting tenants, landlords property value slumped by 50% as the only likely buyers were the then sitting tenants and homelessness spiralled as PRS all but disappeared.

  • icon

    Did I not see somewhere that they are talking about using S8 to evict if you intend to sell the property. Did anyone else see this? Or is it just that they have said they are intending to abolish S21 with no further details so usual Government drip feed and no real plan or understanding leaving landlords in limbo as usual

    Zoe S

    Catherine I think you are correct sometime ago I had also read that somewhere.

     
    icon

    I would also like to know where I will stand if I want to refurbish a house - for example I recently repossessed a property under S21 because as we all felt govt would abolish soon and the house had suffered significant wear and tear by a non house proud tenant. Its currently being completely refurbed. Will I still be able to do this or if I find myself with a tenant who mistreats my house will I be forced to watch and do nothing as it gradually decends from being a high quality let into a grubby 2nd hand looking house?

     
    icon

    Catherine, using a ''good'' agent helps, you know who I use

     
    icon

    Hello again Andrew
    A good agent helps but its not foolproof - I know that there will always be risk being a landlord but it would be nice to know legally what our options will be. I feel that if someone is wrecking my house that was let to them looking great I should have the right to regain my property even if I had to give a longer notice period. Luckily all my current tenants are all very houseproud and take great care so I am very lucky - I have also become very very careful regarding who I let to and do not tend to give the benefit of the doubt anymore. But I would still like to know that there are options to regain control of a property as if we returned to lifetime tenancies it is unlikely I would remain a Landlord

     
    David Saunders

    Short of nailing landlords to a cross, this government and any that follows is and will be willing to do almost anything to placate tenants and their organisations like shelter and so destroy the PRS. When a property is let after the outlawing of section 21, a landlord will need to jump through rings of fire to prove that his/her need for it is greater than that of the sitting tenant's before regaining vacant possession.

     
  • icon

    13. By 2030 none of the above will be achieved. Nothing will get better but nobody will remember these empty pledges. And if they do, I won't be doing this job by then so who cares?

    Two questions for Gove -
    1. please explain why you think a landlord would evict a tennant for no reason?
    2. Do you think these changes will make landlords more or less risk averse with referencing, and what impact do you think this will have on 'vulnerable' tenants?

  • PossessionFriendUK PossessionFriend

    There'll be more lies and excuses for this broken 'Shopping List' in 2030 - Not that the Green - Lefty ' conservatives ' will be in Govt by then.

  • icon

    As a Landlord myself, the abolition of S21 really doesn't bother me. It's just a PR exercise and I do expect S8 to be beefed up to deal with non-payment of rent and antisocial behaviour anyway.
    This legislation is putting Landlords on notice that long term investment is fine, but short term is not; neither is receiving income whilst not providing a quality product. Watch out social housing providers!
    This wont be a particular popular opinion on here, but some private landlords overly require the income every month without factoring in ongoing maintenance, and give Tenants a rough ride for just reporting and requesting it be carried out. Outrageous really.
    There really is nothing here of concern to the Landlord with quality stock that is adequately funded. Do things properly, accept your investments are long term and that they require ongoing expenditure. You will get good quality Tenants and you will be fine.
    With rents on the rise (even if capped they are still going to go up), I will certainly be looking to take advantage of all those panicking an exiting the sector.

    icon
    • AQ
    • 02 February 2022 14:29 PM

    "Watch out social housing providers!"

    Tenner says it doesn't apply to Riverside and SERCO.

     
    icon

    John I do agree that BTL should be a long term investment and there will always be on going repairs maintenance and improvements needed, while I have used s21 in the past it's always been used for a reason, non payment of rent.

     
    icon

    Hi John, I have to disagree. S21 is a very useful tool and an uncomplicated way to remove problem tenants. If they beef up other sections in order to make it simpler to evict problem tenants, then that is fine, but politics that put the cart in front of the horse is very poor. I understand your point on long term investing, but what about the Landlord whom has done this and now wishes to retire. Where is the legislation to allow him to sell. This needs to be closely monitored.
    Not so sure that Landlords here don't factor in repairs and maintenance, but of course they exist.
    Adequately funded, love to know how that is worked out. In 2008 I had 8 tenants give no notice that they were either moving out and not paying as had lost their jobs. I agree with your sentiment but you just don't know what is round the corner.
    Just to add, when I first bought a house in late 80's interest rates were at 15.6%. Not sure whom could survive a repeat of that scenario.

     
    David Saunders

    Sorry John I'm old enough to remember letting pre introduction of section 21 and have to disagree, if/when section 21 is outlawed a property owner will need to be a sandwich short of a picnic to consider letting a house, a flat or even a room and if any property owner is seeing things differently, I suspect he/she is holding the telescope to their blind eye.

     
    icon

    Some fair points and certainly good to chew the fat with the likeminded. Rumours are that a S8 will include beefed up powers i.e. an accelerated possession procedure that won't require a court hearing for non payment of rent, and the same for anti social behaviour. That will take care of much of the angst from landlords. In addition Ground 1 is likely to include the need for sale.
    Factor these in and accept the longer notice and s21 is effectively being swallowed up in to a new section 8. I guess we need to watch this space.

     
    icon

    John. I'm a great believer in providing quality housing and a good service.
    However, I totally reject the asymmetry created by banning S21s. Tenancy agreements are private bilateral agreements. Why on Earth should there ever be a situation where a tenant effectively has an indefinite agreement, only at their option?
    The natural follow on from this is rent controls because in the absence of any ability to remove a tenant why would they ever agree to a rent increase?

     
  • Nic  Chbat

    Without a credible alternative to S21 to protect the majority of good landlords (perhaps an expansion of S8 grounds) the government will be worsening the crisis not improving it - as they have done with their other failed schemes such as the ban on tenant fees and changes to landlord taxation to mention but a few. I welcome the decent homes guidance, if it is fit for the PRS when introduced, as this will actually force out poor quality housing/landlords and raise standards for all. BUT if the government continues to deter good landlords from operating in the PRS by increasing their risk and costs without a counterbalance, investment will continue to fall. Tenants will ultimately lose out as the crisis deepens and the cost and burden of this will fall back to the government, perhaps as intended? As mentioned above long term investment landlords will remain but those seeking short gains/additional income will continue to move out of the PRS into the short let market further fueling the crisis. Short term political gain perhaps but once the Generation rent/shelter et al truly realise what's happened the fallout will be immense and they will have to shoulder some of the responsibility after tarring all in the PRS with the 'rogue landlords' brush.

  • icon

    So sorry for ever been a LL as I have said before and not many longer term than me having been a LL since 1978 but not exclusively either and done other works which I had to abandon because of heavy tax burden for small companies, it was monstrous you had to beat the competition to get contract then kill yourself to make anything. I am sorry for my labour, the property I improved, the houses I built, the taxes I paid. What on earth for what difference would it have made to me, not to have done any of this. The hard work done the Sacrifices made to become second class citizen. I have been so stupid stupid.

  • Zoe S

    Oh.. and BOE putting up interest rates tomorrow!! Anything else they want to throw at us!

  • icon

    Amazing 6’739 read the Article the last time I looked and rising so fast, yet only 49 comments but some were duplicated like mine 7, A T, 5, J Mc 3, Da 2, Rob’ 2, so that leaves 6’730 sitting on their hands waiting to see what happens, nothing has changed then you must be all those Professionals they keep on about, you deserved what you get.

  • icon

    yes Micheal. i hadnt posted but essentially we have a crazy government determined to destroy the fabric of society by using communism and its new sibling woke . Apparently the armed forces are going to be much improved by recruiting tiny black lasbians. And on and on and on.

  • icon

    Andy M. I was paying 15% as well and worse the rent wasn’t getting paid. The biggest mistake was handing BoE control of interest rates. The base rate was rarely below 5% which meant savers had an incentive to save but that’s now gone meaning young don’t save anymore. Savers were abolished over night causing massive problem for housing market everyone that had savings were getting no return & all went buying property that they didn’t necessarily need or want all bidding against each other driving prices through the roof making property unaffordable false economy. Yes we do factor in maintenance but the other unjustified costs couldn’t be that applies to some LL’s but not others, we have 2 Tier Statute law it must be what they call justice namely HMO LICENSING call that £4k with all the trades required + Council’s fees for fun £1200. + to £1400.depending on the L’don Borough, no exaggeration here.

  • icon

    Honestly what’s it got to do with them whether we want to keep or sell our Property, none of their business, we didn’t need get any of their advice or financial support why we bought, what now gives them the right to dictate to us what
    we can or can’t with our Property, excuse me what does ownership mean does it mean you own the Freehold/ Leasehold Property that I
    bought you parasites.

  • icon

    John. you are not bothered about removal of Section 21 good for you but don’t drag the rest of us down with you. I want control of my Property who lives there and for how long it my Property. What are you waiting for do us all a favour and go now, there is a Contract ready and waiting for you its called an Assured Tenancy get stuck with them and enjoy them for ever.
    Enjoy the Collapse.

  • icon

    I have come across a Mr John Thompson, coincidence is stranger than fiction sometimes but he was an Estate Agent.

  • icon

    Well I'm looking forward to the national tenants register to sit alongside the Landlord's register. Yeah right....
    There should be a tenants database where their performance of obligations is logged.

  • icon

    David I agree the removal of Section 21, is massive and a vote of no confidence for me in purchasing a property under those restrictions.
    The removal of S.21 is not just loss of control but a big red line and Tantamount to confiscation and Loss of ownership.

    icon

    Michael. I'm in a position to buy, and I would have liked to do so, but the way things are going I do think it would be very foolish to be doing so now.

     
icon

Please login to comment

MovePal MovePal MovePal
sign up