Labour: Landlords can’t evict tenants if it makes them worse off

Labour: Landlords can’t evict tenants if it makes them worse off

10:09 AM, 5th August 2024, About 4 months ago 94

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Labour is looking to prevent landlords from evicting tenants who have nowhere else to live, the Telegraph reports.

It says government ministers will propose imitating a French scheme which has ‘hardship tests’ that must be followed before an eviction is allowed.

The rule effectively bans evictions that would leave a tenant worse off.

Supported by housing minister Matthew Pennycook, the rule is aimed at reducing homelessness.

Labour is also, the newspaper highlights, in talks about the proposals to reintroduce a minimum energy performance certificate (EPC) of C for the private rented sector.

A new ‘war on landlords’

The Telegraph says the moves will raise fears of a new ‘war on landlords’ which includes losing tax breaks on mortgage interest, more red tape and stamp duty surcharges.

The newspaper says that the housing minister wants to amend the new Renters’ Rights Bill to include the hardship test.

When the Renters (Reform) Bill was making its way through Parliament, Mr Pennycook tried adding an amendment to make it harder for tenants to be evicted.

That would have seen a judge refuse a possession order if it would lead to ‘greater hardship’ to a tenant.

The amendment highlighted three issues when the hardship rule would be met: a tenant losing their job if evicted, a tenant who has terminal cancer and if the eviction leads to homelessness.

Pennycook’s amendment failed to make it

Mr Pennycook’s amendment failed to make it in the RRB, but Labour now has a 174-seat majority in Parliament.

The Telegraph also highlights that Labour will reintroduce EPC targets for landlords with a 2030 deadline.

Many landlords will be looking at expensive upgrades, but the government might have a £10,000 cap on costs.

However, those close to the discussions say that Labour might choose a higher cap – or none at all.

EPC plans for landlords

The EPC plans for landlords would, the Conservative MP for Harrow East, Bob Blackman, be ‘unfair’.

He also told the newspaper that the target for energy efficiency was ‘not practical’.

Mr Blackman also said that many PRS properties cannot be upgraded which would see landlords sell-up.

He also warns that the costs would be put onto tenants with higher rents.

The MP also says that the hardship test would be unfair for landlords who are providing a service.

‘Renters’ Rights Bill will make renting fairer for all’

A government spokesperson told the Telegraph: “The private rented sector is in desperate need of reform, and our Renters’ Rights Bill will make renting fairer for all.

“The energy shocks of recent years have also shown the urgent need to upgrade British homes so we can secure our energy independence and reduce fuel poverty.

“Responsible landlords who provide quality homes to their tenants have nothing to fear from the sensible overhaul of private rented sector regulation we intend to implement.”


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PH

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10:09 AM, 8th August 2024, About 4 months ago

Reply to the comment left by Paddy O'Dawes at 08/08/2024 - 10:06
I can't even begin to wonder why you'd take that route. 😉Stocks & shares can go down as well as up y'know.

PH

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10:10 AM, 8th August 2024, About 4 months ago

Reply to the comment left by Stella at 06/08/2024 - 13:37
TTK was a human rights lawyer god help us.

Paddy O'Dawes

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14:31 PM, 8th August 2024, About 3 months ago

Reply to the comment left by PH at 08/08/2024 - 10:09
Indeed but at the moment I don't have to give my holdings to someone else because I have more than they do 😉

Caroline Newman

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14:48 PM, 8th August 2024, About 3 months ago

After my initial fire work - shoot from the hip comment and anger - I have had time to reflect on this. Being a letting agent for the last 30 years I have seen huge changes and shifts in the PRS. The Tenant Fee ban almost decimated my business but we adapted. All challenges we have overcome as have our landlords. I agree the system is unfair on landlords BUT when I looked at how many evictions we have actually had over the last, say 3 years - its only been 3. Two of which the tenants paid their rent right up until the last minute.

70% of my landlords have Rent and Legal Cover - this now needs to be 100%. I mean why wouldn't you insure your rental income? Can you afford to gamble with it? My guess is 'no'.

Our referencing is more stringent thanks to our referencing provider who have access to CIFAS (national fraud data base). Insurers will have to review their underwriting policies - this proposal of labour - affects more than just us landlords.

There are great tenants out there thats for sure, we just need an incentive from government to keep providing homes for them. Surely we are the answer to the lack of housing in this country !!

Rant over 🙂
Have a good day all

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16:36 PM, 8th August 2024, About 3 months ago

Obfuscated Data

Lee Bailey

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10:59 AM, 9th August 2024, About 3 months ago

Labour = USSR

When my tenants move out, I will sell and move the money offshore. This country sucks

Sheralyne Stamp

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11:10 AM, 9th August 2024, About 3 months ago

The PM was a high court barrister who acted for human rights yet he is taking landlords right away! Surely there is a group that can seek answers, There are so many landlords and agents that look at property 118 and make comment, I ask who are a big enough body to take the landlords views to the MP, please dont say our local councillors as they themselves are a shower of ?
I see many portals such as Landlord Law, Propertymark, NRLA etc all of whom we pay a subscription to and for what as none of them stand up for the landlord or agent anymore. I am an agent and over the last 2 months have had lost 5 properties due the new and pending legislation changes, should this continue I will need to close my business as may many more agents. Do the Government realise how much revenue in our tax they will loose from the treasury, clearly they have not done their maths homework.

Property Flipper

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11:28 AM, 9th August 2024, About 3 months ago

Why does everyone have a knee jerk reaction and say "Right I'm selling up!" when the legislation isn't even in place, and seems to have a conspiracy theory about a huge dystopian future where the Government owns everything.

I find it quite amusing the amount of time people spend fighting the machine, when they should in fact be rationally thinking how can I benefit from this.

Sheralyne Stamp

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11:38 AM, 9th August 2024, About 3 months ago

Reply to the comment left by Property Flipper at 09/08/2024 - 11:28If you know or find the answer of how we benefit from this please share with us all

Stella

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11:55 AM, 9th August 2024, About 3 months ago

Reply to the comment left by Sheralyne Stamp at 09/08/2024 - 11:10Just today I received two selective licences which have a lot more conditions attached to them than the previous licences for these properties.
The additional Licence for a 4 bed property that I received last year did not seem to have as many requirements.
With all these trip hazards that councils keep dreaming up and a government that does not have a clue of how the PRS works I am not at all surprised that it is affecting your business.

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