Landlord News

PRS still needs work despite Tory win

Em Morley - May 14, 2015

The result of last Thursday’s general election seemed to be generally well received within the property sector. However, there are still some that argue a number of uncertainties facing the private rented sector will need be addressed as a matter of urgency.

That is the view of John Stewart, policy manager at the Residential Landlord Association (RLA), who has listed a number of private sector issues that he feels should be high on the Government’s agenda.

Concerns

Firstly, Mr Stewart wants to see a continued rollout across the country of the new proposals from the Immigration Act 2014. This requires landlords and letting agents to check on the immigration status of their tenants, or face hefty fines. The initial trial of the scheme is due to finish this month and Stewart said that the RLA would be conducting its own assessment of the trial by asking landlords for feedback.

Mr Stewart also wants clarification on the proposal to make it a criminal offence to prevent sub-letting as part of a tenancy agreement. He said that his organisation has already raised concerns about these proposals and would expect the government to consult with the private rented sector before pressing ahead with these plans.

PRS still needs work despite Tory win

PRS still needs work despite Tory win

Amongst his other concerns were the proposal to extend the Right to Buy scheme, while additionally lowering the benefits gap. Mr Stewart was very concerned about figures that suggest for every ten council houses sold during the last government, only one was replaced. He believes that if social housing stock continues to fall, more benefit tenants will live in the private rented sector.

Concluding, Mr Stewart warned that, ‘with a majority of only twelve seats and party splits over the European referendum, it is far from certain that David Cameron won’t need allies in other parties. In the short-term, landlords may breathe a sigh of relief, but there could still be choppy waters ahead.’[1]

[1] http://www.rman.co.uk/latest-news/article/prs-could-still-have-choppy-waters-ahead-despite-election-result