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A Landlord’s Guide to Asbestos Awareness

Published On: January 20, 2016 at 3:04 pm

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Health and safety specialist Louise Petty explains what asbestos is and what your responsibilities are as a landlord:

What is Asbestos?

What is Asbestos?

What is Asbestos?

Asbestos is a hazardous substance that causes ill-health to anyone who disturbs it. There are 3 main types – chrysotile, amosite and crocidolite – which are mined in many countries around the world before being used to create household products and building materials.

Fortunately, asbestos is no longer used or imported in the UK (it was banned in 1999) due to the health hazards it creates. However, it’s still common in existing buildings, especially those built before the year 2000.

If you are the landlord of a property built before the year 2000 you should therefore be especially vigilant and ensure you have a good awareness of the risks.

 

Where is Asbestos Found in Rental Properties?

Although the manufacture (and use) of asbestos products was banned in the UK in November 1999, asbestos containing materials still widely exist in buildings and products installed before this date. The use of asbestos was particularly popular during the 1950s to 1980s, so pay particular attention if you rent out a property that was built or refurbished during this period.

Asbestos was used so extensively because it possesses many idyllic properties. Amongst other things, asbestos is strong, incombustible, heat-resistant, cheap, sound absorbent and can control condensation. It could be used to make all sorts of products – from roof tiles to kitchen paper -making it easy to see why it was so popular.

Consequently, in a rental property asbestos may be found in almost any material. Some of the most common locations include:

  • Textured wall and ceiling coatings, such as Artex.
  • Floor tiles
  • Asbestos insulating board in walls, ceilings and doors.
  • Baking paper and cardboard.
  • Fire blankets and fire doors.
  • Roof felt.
  • Guttering and pipe work.
  • Bath panels.
  • Garage roofs.

 

What Are the Health Hazards?

Prior to it being banned in 1999, asbestos was widely used because people were simply unaware of the health hazards it created. This was perhaps because the onset time of asbestos-related illnesses can be anything from 15 to 60 years after the initial exposure, so at the time people weren’t experiencing any immediate symptoms of ill-health.

However, this means that those people who were regularly exposed to asbestos fibres in the 1970s may only just be beginning to experience the harmful after-effects now. Take a look at the graph below from the HSE which shows how the rate of mesothelioma deaths (an asbestos-related cancer) has increased rapidly since the 1980s:

These days, around 4,000 people die each year from cancers caused by inhaling asbestos fibres. Amongst these, public health advocate Linda Reinstein bravely tells the story of her husband, Alan, who was diagnosed with mesothelioma in 2003 and the struggle she now faces trying to raise awareness of asbestos dangers.

 

How Does Asbestos Cause Ill-Health?

Asbestos causes harm to people’s health when the fibres, suspended in the air, are inhaled. A singular, short exposure to asbestos is unlikely to do you much damage but regular or prolonged exposure to the harmful fibres has the potential to cause serious problems further down the line.

The fibres are released when the asbestos containing material is damaged or disturbed. This can occur during all kinds of activities, such as drilling holes in the wall, knocking down walls or out-buildings, removing plasterboard and tearing up old cardboard. If you suspect that asbestos may be present in your rental property and plan to carry out work then it’s essential that you assess the risks first.

On the other hand, if asbestos containing materials are not damaged or disturbed and are left alone then the fibres will not be released and they will do no harm.

 

Who is at Risk from Asbestos?

Anyone who disturbs or damages an asbestos containing material, and who consequently inhales the harmful fibres, is at risk from ill-health.

Tradesmen such as plumbers, carpenters, electricians and gas fitters are most at risk, as are those who take part in any other sort of building repair or refurbishment, like plasterers, roofers, decorators and heating engineers.

HSE research tells us that, on average, every week in the UK:

  • 4 plumbers die.
  • 20 tradesmen die.
  • 6 electricians die.
  • 8 joiners die.

 

What are landlords' responsibilities?

What are landlords’ responsibilities?

What are Landlords’ Legal Responsibilities?

Under the Control of Asbestos Regulations 2012 (CAR 2012), employers and the self-employed must prevent people from being exposed to asbestos or else reduce the risk to as low a level as possible.

These regulations apply to landlords but the legislation is somewhat confusing, as the law only refers to ‘non-domestic’ properties. This means that you have a legal responsibility to assess the risks from asbestos in all common parts where people don’t live, such as entrance halls, stairways, shared roof-spaces, shared garages, boiler rooms and communal gardens.

The law requires you to find out if asbestos is present in these communal parts and protect people from the hazards. If you locate asbestos containing materials then you should make a record of the location and type of asbestos and ensure a plan is in place to manage the risks and monitor any changes in its condition.

If you intend to instruct tradesmen to work on your property then you should inform them of the presence of asbestos (or suspected presence) before they begin work.

Perhaps confusingly, under CAR 2012, private residences like individual flats, private houses and private rooms etc are not covered by the same requirements and so you don’t have a ‘duty’ to manage asbestos risks. However, it’s still seen as good practice to assess the risks in order to keep your tenants from harm.

The Defective Premises Act 1972 reiterates the importance of protecting tenants from personal injury or disease caused by a defect in the state of the property. Whilst asbestos isn’t specifically mentioned within this law, it makes sense to assume it is included. You should therefore do all that you can to identify the hazards and ensure they are controlled. You can find out more about Asbestos Regulations from The Asbestos Information Centre.

 

What Should You Do if You Suspect Asbestos is Present?

If you, a tenant or a tradesman suspects that asbestos may be present in the property then your first step is to leave it alone. Disturbing or trying to move the asbestos will cause harmful fibres to be released so it’s important that you don’t try and remove it yourself.

Inform your local authority of your suspicions and arrange for the material to be tested and/or removed by a licensed contractor if necessary.

If the asbestos is in good condition and hasn’t been damaged or disturbed then it’s safe to leave it in situ. Simply label the material as ‘contains asbestos’ and make a note of its location for future reference.

If the asbestos is in poor condition (either damaged or disturbed) then it should be removed by a licensed asbestos removal company. Never try to remove asbestos containing materials yourself.

If you think that you, a tenant or a tradesman has been exposed to asbestos fibres, or if they have developed ill-health as a result of exposure, then it is essential that you see a doctor straight away. The doctor can give a diagnosis and inform you of what action to take next.

 

Louise Petty is a training course author for High Speed Training and a health and safety specialist. She writes educational materials around a wide range of topics, but specialises in Legionella, Asbestos Awareness and COSHH.

Two London Landlords Fined for Ignoring Council Notices

Published On: January 20, 2016 at 12:39 pm

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Two rogue landlords in Southall, west London, have been found guilty of failing to comply with council notices and orders to make their substandard rental properties safe.

Ealing Borough Council prosecuted Ahdil Saddiq – also known as Mohammed Jameel Choudhry and Jameel M Choudhry – and Jasjeet Singh Punny.

Two London Landlords Fined for Ignoring Council Notices

Two London Landlords Fined for Ignoring Council Notices

Saddiq was prosecuted for failing to comply with a prohibition order and demolition order served by the council’s House in Multiple Occupation (HMO) team, due to a damp, dangerous and illegal outhouse at the rear of 5 Heathway, The Common, Southall.

When council officers inspected the outhouse in 2012, they discovered mould, damp and cold conditions, and several electrical and fire safety hazards.

In October 2012, a prohibition order was issued forbidding anyone to live or sleep there. However, subsequent inspections found that the landlord had ignored the order, and the outhouse was still occupied.

In January 2014, the council served a demolition order, requiring the outhouse to be destroyed. Saddiq also ignored this notice, leading to the council stepping in and demolishing the outhouse.

Saddiq must now pay the council’s demolition costs of around £18,000, or a charge will be placed against the property.

On 7th January, Saddiq appeared at Ealing Magistrates’ Court and was found guilty of six charges regarding the failure to comply with the prohibition and demolition orders. He was ordered to pay a £560 fine and the council’s legal costs of £2,616, alongside the £18,000 demolition costs.

Separately, Punny was prosecuted for failing to comply with an improvement notice served on his property at 12 Oakleigh Court, Southall.

Punny was renting the property out to a mother and her young, asthmatic child. When officers inspected the home, they found mould covering the walls, a large sliding door not fixed to the wall, so at risk of falling, and kitchen cabinets also not secured properly to the wall.

In September 2014, the council served an improvement notice, ordering Punny to make improvements. However, he ignored all attempts by the officers to contact him.

He failed to make the property safe, and therefore appeared before Ealing Magistrates’ Court on 7th January where he was found guilty of failing to comply with the notice. He was issued a fine and ordered to pay council costs totalling £4,964.

Councillor Ranjit Dheer, the Cabinet Member for Safety, Culture and Community Services at Ealing Borough Council, insists: “There is no place in this borough for slum landlords who are willing to put their tenants’ health and safety at risk for pure profit.

“Ealing Council is working hard to make sure that dangerous landlords feel the full weight of our powers and I am delighted to see these two selfish and irresponsible individuals found guilty.”1

1 http://www.ealing.gov.uk/news/article/1428/ealing_council_brings_rogue_landlords_to_justice

Carney suggests interest rate rise is not imminent

Published On: January 20, 2016 at 10:10 am

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In seemingly positive news for buy-to-let landlords and mortgage holders, the governor of the Bank of England has moved to rule out an immediate rise in interest rates.

Mark Carney believes weaker than expected growth in the UK, coupled with ongoing uncertainty in the global economy. He believes that an, ‘unforgiving’ global environment means that more controlled monetary policy was not yet needed.

Backtrack

This assessment from Mr Carney comes just six months after he suggested that an increase in interest rates would come into, ‘sharper relief,’ at the start of 2016.

Many onlookers believed that rates would rise early in this year, bringing relief to savers who have been struggling with record low interest rates since the financial crash of 2007.

However, Carney’s comments suggest that rate rises are now a more remote prospect, with economists now suggesting there will be no change in interest rates until at least the second half of the year.

Carney suggests interest rate rise is not imminent

Carney suggests interest rate rise is not imminent

‘Last summer, I said that a decision as to when to start raising Bank rate would likely come into sharper relief around the turn of the year,’ Carney said in a speech at the Queen Mary University of London. He went on to say that, ‘well, the year has turned and, in my view, the decision proved straightforward-now is not the time to raise interest rates.’[1]

Gradual

Looking to the future, Carney said that any rises in the future would be small and gradual. He said that, ‘it is clear to me that since last summer, progress has been insufficient to warrant a tightening of monetary policy. The world is weaker and UK growth has slowed.’[1]

‘Due to the oil price collapse, inflation has fallen further and will likely remain low for longer. It has always been the case that, because the economy is subject to unforeseen disturbances, the precise path for Bank rate rises cannot be pre-ordained. We’ll do the right thing at the right time,’ he continued.[1]

[1] http://www.bbc.co.uk/news/business-35351217

 

RLA Seeks Legal Advice on Challenging Osborne’s Tax Changes for Landlords

Published On: January 20, 2016 at 9:46 am

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The Residential Landlords Association (RLA) is seeking legal advice on whether to challenge Chancellor George Osborne’s proposed tax changes for landlords.

In the summer Budget last year, Osborne announced plans to cut mortgage interest tax relief for buy-to-let investors.

The change will mean that landlords will be taxed on turnover, not profit, and targets smaller investors.

RLA Seeks Legal Advice on Challenging Osborne's Tax Changes for Landlords

RLA Seeks Legal Advice on Challenging Osborne’s Tax Changes for Landlords

The RLA is taking advice on whether the change will breach the Human Rights Act and EU law on free movement of capital.

Separately, two landlords have crowdfunded to fund a judicial review. Read more: /angry-landlords-hope-to-tackle-george-osborne/

The RLA also believes that the Government’s policies are encouraging overseas property investors.

The additional 3% Stamp Duty charge for buy-to-let landlords and second homebuyers, announced in the Autumn Statement, will, similarly to the change on mortgage interest tax relief, be imposed on smaller landlords.

Landlords with smaller portfolios will be subject to the extra tax, while those buying 15 or more properties in one transaction will be exempt.

The RLA says that this will favour larger investors, “many of whom are likely to be from overseas”.

The Chairman of the RLA, Alan Ward, comments: “It is astonishing that a Conservative Chancellor is leaving the way open for foreign investors and cutting opportunities for individual UK landlords.

“This additional assault on private landlords coming on top of changes to the taxation of rental income will only lead to reduced supply and higher rents.”

He continues: “The Chancellor’s planned changes to Stamp Duty came as a bolt out of the blue. Regardless of the Government’s plans for homeownership, demand for rented housing is only set to increase.

“The Government needs to understand that not everyone will be able to afford to buy a house or indeed want to, even if more houses are built. Its whole policy towards the private rented sector needs to change. If it does not, it will only make the housing crisis worse.”1

The Chair of the Treasury Select Committee asked the Chancellor yesterday whether the Stamp Duty charge would aid or hinder mobility in the jobs market.

Osborne responded: “I think that it will help to promote homeownership, because it will mean that there is a more level playing field between an owner-occupier who wants to buy a house, a first time buying family and a buy-to-let landlord.

“There is nothing wrong with people investing in property, but there should be a level playing field so that we reverse the decline in homeownership in our country.”2 

1 http://news.rla.org.uk/government-discrtment-in-housing/

2 http://www.publications.parliament.uk/pa/cm201516/cmhansrd/cm160119/debtext/160119-0001.htm#16011944000005

Councils Not Doing Enough to Tackle Rogue Landlords

A new report claims that councils are not doing enough to tackle rogue landlords, with only around a quarter of complaints about substandard rental homes leading to inspections.

Last week, Conservative MPs rejected an amendment to the Housing and Planning Bill that would have forced landlords to ensure properties were fit for human habitation. They argued that councils already have adequate powers to tackle rogue landlords. Read more here: /conservatives-reject-move-to-ensure-rental-homes-are-safe/

However, research conducted on behalf of Labour MP Karen Buck found that councils are not using the powers they have.

Poor living conditions

A survey of 120 local authorities in England revealed that although councils received 51,916 complaints about poor living conditions in 2013, housing officers only inspected 14,043 properties.

The data shows that housing officers were four times more likely to respond informally to complaints, by letter or phone call, rather than issuing a legal notice. On average, each council prosecuted less than one landlord per year.

The report highlights a difference between the amount of potentially life-threatening hazards that councils recorded during inspections and the number of notices that they served; inspectors identified 4,301 category one hazards – such as excess cold or fire risks – but councils only took enforcement action on 3,550 cases.

The growing private rental sector

The private rental sector is now the second largest tenure in the country – about 4.4m households rent from a private landlord, more than double the number recorded in 1996. However, the growing sector is leading to more concerns over the standard of properties being let.

Buck says that it is alarming that there is such a low level of enforcement in the private rental sector: “Far too few of the landlords that let grossly substandard properties can expect to have tough enforcement against them.”

She adds that as the sector grows, it is increasingly being used to house low-income families and homeless people, but that housing officers lack the resources to protect vulnerable tenants.

Councils Not Doing Enough to Tackle Rogue Landlords

Councils Not Doing Enough to Tackle Rogue Landlords

She insists: “The more vulnerable people that go into the private rented sector, the more urgent the need for more resources to protect them.”

The author of the report, Stephen Battersby – a housing consultant – acknowledges that resources are a factor, but believes that councils are too cautious.

“Taking a softly, softly approach to landlords does nothing to discourage those who are undermining the more responsible landlords,” he says. “It is a strategy that has failed.”

He adds: “If a council finds a category one hazard, then the very least they should do is serve a hazard awareness notice. If they don’t then it is a breach of their statutory duties under the Housing Act.”

Enforcement action

In October, new laws were introduced to stop landlords making revenge evictions when a tenant complains about the state of their property. However, tenants are only protected if councils serve improvement notices.

Battersby explains: “Just a letter from the local authority will not stop these evictions. If councils continue their softly, softly approach, it won’t do anything to prevent retaliatory evictions.”

Similarly, local authorities will not be able to use new powers in the Housing and Planning Bill to ban rogue landlords unless they take more enforcement action. Find out more about the banning orders here: /rogue-landlords-to-be-banned-under-the-housing-bill/

Battersby has conducted the survey for the past three years. He observes that enforcement activity has remained at around the same level since 2011.

“While it is a good thing that this report indicates no great drop off in enforcement activity, that still remains very low by comparison with the scale of the problems in the private rented sector,”1 he says.

The Local Government Association claims that councils take complaints seriously, but that enforcement is a last resort.

A spokesperson states: “The private rented sector is growing, and, with limited resources and competing funding pressures, councils are working hard to ensure that complaints from tenants are prioritised and dealt with appropriately.

“Some may be resolved without the need for inspection, and enforcement is a last resort when all other options fail.”1

Cracking down

In July last year, The Guardian and Environmental Health News released a list of convicted landlords, of which there were 2,006 convictions between 2006-14, resulting in fines of just £3m – less than £1,500 for each conviction. 

Data from the Building Research Establishment in 2015 found that 8.4m homes in England have a significant hazard. The annual cost to the NHS of these issues is around £2 billion in England and £2.5 billion for the whole of the UK.

Buck believes that tenants should have the right to sue landlords over uninhabitable conditions, as enforcement levels are too low overall.

“Some local authorities do this very well, but there is a lack of consistency,” she notes. “We need to complement what local authorities do with a power for tenants.”1

There are reports that amendments may be tabled to the Housing and Planning Bill that give tenants the right to sue, when the law passes through the House of Lords.

A spokesperson for the Department for Communities and Local Government insists that the Government is determined to crack down on rogue landlords: “We have brought in legislation to protect tenants from being evicted, provided £6.7m of funding, and introduced selective licensing so councils can target the areas with the worst problems.

“Furthermore, the housing bill strengthens councils’ powers, including enabling them to blacklist landlords who have been convicted of serious offences and seeking banning orders for the most prolific offenders.”1

1 http://www.theguardian.com/money/2016/jan/18/local-councils-softly-softly-approach-rogue-landlords-poor-living-conditions

 

 

 

 

 

London buyers adapting to upcoming legislation changes

Published On: January 19, 2016 at 2:29 pm

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The turn of the year has seen a surge in activity in the property investment market, as buy-to-let purchasers rush to secure property before the increase in stamp duty takes hold on April 1st.

Activity has been prominent in the capital, with investors in London aware of how much an additional 3% equates to in the most expensive area of the market.

Rewards

‘Buy to live purchasers can’t be blamed for stepping out of the arena for this buy to let mini-bubble,’ said Sara Ransom, director of Stacks Property Search in London. She feels that, ‘their reward is likely to be less punchy prices on the kind of property that lends itself to investment purchase. April will be a good month for non-investment purchasers of new homes where there’s a good chance that discounts of up to 3% will be on the table.’[1]

Ransom notes that, ‘at the lower end of the resale sector, buyers may struggle to negotiate discounts,’ saying, ‘the £300,000-£600,000 market has gone from strength to strength since the new Stamp Duty bands were introduced in the Autumn of 2014. The first time buyer market in areas such as Clapham, Balham and Streatham is buoyant; buyers interested in ex-council apartments in Brixton will have to work hard just to look at one before it’s snapped up.’[1]

London buyers adapting to upcoming legislation changes

London buyers adapting to upcoming legislation changes

Higher value, less competition

Observing that overseas buyers make up a small proportion of buyers than they did two years ago,’ Ransom said that, ‘over £600,000, there’s less competition.’ She went on to say however that, ‘the market is moving steadily and there’s plenty of demand from those upsizing to a second home, with help from the bank of Mum and Dad. But here may be a little room for manoeuvre on price if you do your research, kick hard in the right places and get your timing right. April will be a good month to be negotiating.’[1]

‘Meanwhile, the prime central London market remains in intensive care; its recovery is expected to be a slow and painful. The question is, how will prices fall before people start speculating again?’ she concluded.[1]

[1] http://www.propertyreporter.co.uk/property/what-next-for-london-buyers.html