Pennycook: ‘We don’t want an exodus of landlords’

Pennycook: ‘We don’t want an exodus of landlords’

14:44 PM, 23rd October 2024, About 5 days ago 58

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The Housing Minister Matthew Pennycook says he doesn’t want landlords to leave the private rented sector (PRS) – and he’s seen no evidence that it is happening.

Speaking to MPs at the Committee stage of the Renters’ Rights Bill, Mr Pennycook was asked what his biggest takeaway from the day’s hearing was.

He replied: “We don’t want an exodus of landlords from the sector, but I’ve seen absolutely no evidence of that.

“I think this is a threat that has been bandied about for many, many years now.”

‘There has been an outflux of smaller landlords’

He went on to say that the size of the PRS had ‘doubled since the early 2000’s’.

Mr Pennycook said: “I would say there has been an outflux of smaller landlords, particularly over-geared buy to let landlords.

“That is mainly a result of section 24 tax changes that George Osbourne introduced in 2015 explicitly to slow the growth of the private rented sector so there has been an exit from the sector of certain types of landlords.

“But we are certainly not seeing an exodus.”

‘Good landlords have absolutely nothing to fear’

The Minister went to discuss the feedback from landlords he’d received in recent months.

He said: “The most damaging thing for many was the uncertainty about whether reform is coming through.

“In general, good landlords have absolutely nothing to fear from this system, we think it provides a framework in which they can continue to invest and operate.”

Mr Pennycook said the balance has been struck in the Bill between landlords and tenants and said the aim was not make things ‘much more difficult for tenants’.

He said: “That is why the government is not advocating for rent controls.

“I think the Scottish experience is constructive in terms of what can happen in terms of unintended consequences.”


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Cause For Concern

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11:06 AM, 23rd October 2024, About 5 days ago

I’ve just issued 25 S21s, while I still can, and am selling up due to the totally unacceptable political and legal environment that I’m being forced to run my business and risk my capital in.
The Tories turned the vice until the pain was still just about survivable and now Labour have killed off my livelihood and my tenants’ housing provision.
There is no political party in the UK fit for purpose when it comes to the PRS and our own NRLA are a pathetic joke.
Good luck to all landlords and tenants in the future.

Paul Essex

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11:07 AM, 23rd October 2024, About 5 days ago

Can't see any evidence?

Should have gone to SpecSavers!

Stella

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11:46 AM, 23rd October 2024, About 5 days ago

Reply to the comment left by Paul Essex at 23/10/2024 - 11:07
My thoughts exactly!

Pennycook thinks that it will not matter if the small landlord disaperars. He is expecting BTR to house these tenants.

The pace of construction with BTR has slowed recently so how does he intend to make up the slack.

"There's none so blind as those who will not see"

Archie S

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12:03 PM, 23rd October 2024, About 5 days ago

The word 'exodus' keeps being bandied around by all sides, which shows how little thought and responsibility is going into these proposals.

In many areas it would take a reduction far less than 5% of the stock in the PRS to cause a massive spike in rents.

moneymanager

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12:21 PM, 23rd October 2024, About 5 days ago

'He replied: “We don’t want an exodus of landlords from the sector, but I’ve seen absolutely no evidence of that.'

"I see no signal' said Nelson raising his glass to his blind eye.

Unlike Nelson's victory at the Nile, this government is driving the whole of HMS GReat Britain onto the rocks and it's doing it deliberately.

Judith Wordsworth

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12:25 PM, 23rd October 2024, About 5 days ago

Pennycook: ‘We don’t want an exodus of landlords’

Too late. It's already, and has been for the last 3 years, happening.

The politician's, both red and blue, have speeded up the exodus which results in less supply which in turn results in higher rents not to mention the national homelessness their landlord crucifixion is and will cause as well as the current government putting to the top of housing lists asylum seekers.

UK tent cities here we come, something I remember saying 3+ years ago

Mr Blueberry

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12:27 PM, 23rd October 2024, About 5 days ago

Actually the evidence is very clear Landlords are leaving the private rental sector.

Rightmove is evidenced based and is also the UK’s largest property portal. It's been combing through homes currently listed on its website.

It’s found that 18% of properties that are now for sale were previously offered for rent.

That 18% share is the highest that Rightmove has seen since it started measuring the number back in 2010 – when the share was just 8%.

To deny the facts is putting your head in the sand and hoping everything will be okay. It's not okay and the future is bleak for renters.

For a government minister to say there is no evidence landlords are leaving and everything is fine in the PRS sector is, to be frank, a lie.

Monty Bodkin

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12:28 PM, 23rd October 2024, About 5 days ago

‘Good landlords have absolutely nothing to fear’?

NewYorkie

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13:23 PM, 23rd October 2024, About 5 days ago

Reply to the comment left by Mr Blueberry at 23/10/2024 - 12:27
Labour has been lying since before the election, and because they have such a majority, they know they can continue lying and no one can touch them.

If it was the Tories, the media would be hounding them out by now, but the media was complicit in their election success.

PH

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13:31 PM, 23rd October 2024, About 5 days ago

'the PRS has doubled since 2000's'....and there's still not enough houses yet they do their level best to get shut of us ! I know it is definitely not me who's blinkered but then again I do give a toss !

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