In a blog released within minutes of Sir Kier Starmer becoming Prime Minister, activist group Generation Rent calls for rent controls.
It says: “In order to be effective, we believe the new government must limit the rent increases landlords can impose to tenants stay put, rather than continue to allow landlords to push rents up faster than tenants’ wages.”
The activists also want to stiffen Labour’s policies on so-called bidding wars.
Starmer spoke in broad terms during the election campaign about giving tenants the right to challenge ‘high’ rent rises, and stopping agents and landlords from effectively auctioning tenancies to the highest bidder.
But Generation Rent’s blog states: “While plans to challenge increases are welcome and bidding wars must be outlawed, any system that would allow tenants to offer so-called ‘voluntary’ offers over asking prices would undoubtedly be exploited by some landlords and letting agents to allow back-door bidding wars.”
The other Labour policies about which the group is not quibbling so far include:
– “Immediately” abolishing Section 21 no-fault evictions;
– raising standards, including extending Awaab’s Law to the private rented sector and ensure homes meet Minimum Energy Efficiency Standards – a week after the manifesto launch, Labour committed to making sure privately rented homes have an Energy Efficiency Rating of at least ‘C’ by 2030;
– giving first-time buyers ‘first dibs’ to buy homes instead of international investors, and a permanent, comprehensive mortgage guarantee scheme, to support first-time buyers who struggle to save for a large deposit, with lower mortgage costs;
– a housebuilding target of 1.5m over five years, equivalent to 300,000 per year;
– review Right to Buy discounts and protect newly-built social housing.
Generation Rent says that “Labour’s promises offer many welcome steps in the right direction, with many measures desperately needed in the context of record homelessness and the cost of renting crisis.”
