Renters’ Rights Bill could worsen housing crisis – Propertymark

Renters’ Rights Bill could worsen housing crisis – Propertymark

9:29 AM, 14th October 2024, About a month ago 13

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The unintended consequences of the Renters’ Rights Bill for the private rented sector (PRS) could make the housing crisis worse, Propertymark warns.

It says that while the Bill is designed to protect tenants, landlords who cannot gain possession will leave the PRS – pushing up rents.

Over the past decade, the PRS has faced legislative changes, including a stamp duty surcharge, minimum energy efficiency standards and a ban on tenant fees.

The organisation warns that these changes have made it more challenging for landlords and agents to operate and invest in the sector.

The rights of tenants and landlords

Propertymark’s chief executive, Nathan Emerson, said: ”Legislation must be balanced when it comes to protecting the rights of both tenants and landlords, something Propertymark has long argued for.

“However, there must be a workable system implemented that delivers fairness for everyone.

“Tenants should be confident they have a stable and secure home, and landlords must be able to gain possession of their properties from disruptive tenants via adequate means.”

He adds: “If this legislation is not carefully implemented it has the potential to cause long-term issues that might be extremely difficult to undo.”

Section 21 ‘no-fault’ evictions

The Bill will ban Section 21 ‘no-fault’ evictions and make it easier for tenants with children and pets to find homes.

Propertymark argues that while reform is necessary to address the issue of criminal landlords, over-regulating the market will mean fewer homes as landlords sell up.

The organisation’s Housing Insight Report found that an average of 10 new applicants competed for each available rental property.

Propertymark also highlights other unintended consequences of the Renters’ Rights Bill, including the impact of ending fixed-term tenancies, particularly for students.

The potential strain on the court system is also a worry.

Propertymark also wants statutory rules to ensure letting agents are suitably qualified to help raise PRS standards.


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Whiteskifreak Surrey

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0:10 AM, 15th October 2024, About a month ago

Reply to the comment left by Monty Bodkin at 14/10/2024 - 23:41
I had high hopes when Ben took over as a chairman.
But his recent public statements, particularly on LinkedIn are - at least - thought provoking (not to say ignorant).
I do not think he actually realises how damaging this RRB is going to be for the PRS.
He tries to rehabilitate himself a bit by publishing articles about CGT in the Daily Telegraph and The Times - but it is too little and too late.

Archie S

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0:30 AM, 15th October 2024, About a month ago

Reply to the comment left by Chris @ Possession Friend at 14/10/2024 - 22:56
NRLA are beyond pathetic.

No one expects them to hold back the tide on RRB completely, but they don't seem even be trying to get achievable wins like reasonable privacy for the LLs database or a phase-in for the abolition of fixed-term tenancies.

Also, there is such a thing as the court of public opinion. All these policies will reduce supply and drive up rents - NRLA should be banging the drum on this and not allow LLs to be blamed for the consequence of political decisions.

Chris @ Possession Friend

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9:05 AM, 15th October 2024, About a month ago

Reply to the comment left by Archie S at 15/10/2024 - 00:30
Funny you should say that Archie,
I was at a Barristers conference yesterday.
Did you know that Section 21 isn't going to apply on 'Day 1 when its brought into operation for whole of PRIVATE rented sector.

Social Housing are going to have phase-in dates, so they 'can manage their compliance process' ( or similar nonsense excuse. )

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