The government is to blame for rising rents and homelessness – leading landlord claims

The government is to blame for rising rents and homelessness – leading landlord claims

9:58 AM, 23rd October 2024, About 4 weeks ago 19

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A Nottingham landlord warns that each new anti-landlord measure will only lead to higher rents and more homelessness.

Mick Roberts, one of Nottingham’s largest landlords to house benefit tenants, tells Property118 why councils and the government is to blame for the housing crisis.

Mr Roberts says a combination of factors including minimum EPC C targets and selective licensing is causing more landlords to sell.

Selective licensing only punishes good landlords

Mr Roberts tells Property118 that laws by the government have now made it harder for tenants to find a property as landlords become more selective.

He said: “The government don’t want landlords helping tenants on benefits, and they are the ones that introduced Universal Credit, which has zero communication with landlords. Many landlords now don’t rent to tenants on benefits.

“Councils brought in selective licensing which only punishes good landlords with well-maintained houses rather than criminal landlords who can get away with it. We had to raise rents to cover costs, and now we avoid renting to high-risk tenants.”

Mr Roberts adds that extortionate fines have also created additional burdens for landlords.

He tells Property118: “A landlord can be fined £30,000 if a tenant removes the battery from a smoke alarm and the landlord can’t prove it.

“A landlord can also be fined £30,000 if they rent a one-bedroom flat to a single person, and that person moves a partner in without the landlord knowing if the selective licence is only for one occupant.

“The government started fining landlords £5,000 if they didn’t properly check tenants’ passports during Right to Rent checks. As a result, landlords stopped renting to anyone who might even slightly be suspected of being an illegal immigrant, causing innocent UK citizens to suffer.”

Tenants with pets can no longer find a place to live

Mr Roberts says many pet-owning tenants are facing difficulty in finding a place to live.

He tells Property118: “We all love pets, but we just want to insure against any potential damage they may cause. Just like when you buy an expensive sports car, you’re allowed to be charged higher insurance.

“If tenants were allowed to pay a higher deposit to cover potential pet damage, and if the pet caused no damage, the tenant would simply get their deposit back — job done. That way, only those responsible for damage, around 10%, would pay for their own damage.”

Mr Roberts blames the introduction of caps and restrictions on tenancy deposits, which means landlords in England can no longer request a higher deposit for tenants with pets. Deposits have been capped in England since the Tenant Fees Act was introduced in 2019.

He said: “The way the government has it now, everyone loses. We all know what happened when pet deposits were scrapped — we warned them it would happen.

“Now, all pet owners pay higher rent, whereas before, if there was no damage, there was no extra charge. Now, there’s an unfair charge on every pet owner, and they’ve got Shelter and others to thank for that.”

EPC C targets causing homelessness

Mr Roberts also claims Ed Miliband’s rule for all private rented sector properties to meet EPC C targets by 2030 will only cause homelessness.

He said: “What if a tenant was living in a warm, damp-free property, paying 30% less than market rent? The home already had the latest boiler, windows, doors, kitchen and more – it was an EPC D rating, and the tenant was perfectly happy.

“However, with Ed Miliband’s new rule that all private rented properties must meet EPC C, it could cost landlords up to £10,000 to upgrade. As a result, the landlord won’t be able to offer the affordable rent anymore and will have to increase it.

“Alternatively, the landlord might decide to sell the property, leaving the tenant with nowhere to go.”


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Paul Feeney

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10:27 AM, 23rd October 2024, About 4 weeks ago

Every landlord knows this and the evidence proves it every time.
The market economy rules apply the same everywhere.
Restrict the supply and increase the costs means the price must go up.
There are too many people in the UK and there will never be enough houses under the current legislation.
Relax the rules and more homes will come on the market bringing lower prices /rents.
The law of economics is not understood by government... We all know that as well!

Small Portfolio Landlord

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10:54 AM, 23rd October 2024, About 4 weeks ago

Absolutely - well said. When you become an MP, you have to leave your commonsense at the door when you enter Parliament.

Cider Drinker

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13:41 PM, 23rd October 2024, About 4 weeks ago

Spot on Mick - again.

Additional property SDLT increased rents because landlords had to pay more to buy a property. Today, it means landlords are less likely to buy additional properties. So, who will be the expensive boxes that Labour hope the house builders will deliver?

Section 24 increased costs for landlords. Many tried to outsmart the government by moving property to Ltd structures. This could trigger SDLT, CGT and mortgage rates tend to be higher.

Politicians, however clever they may be, tend not to be practically minded. They don’t understand that buildings need to breathe. Most have never lived in a property that was built cheaply in the early 1900s. I doubt many would have woken to ice on the inside of their windows. The need to improve energy efficiency isn’t about saving tenants a couple of hundred pounds per year; higher rents will soon swallow that up. No, we need to use less energy so that the millions of migrants can be supplied with power from our woefully inadequate power networks.

Huge fines for minor oversights are disproportionate. However, the risk premium that needs to be added to rents is directly proportionate to the fines.

It’s true, tenants on benefits are the new pariah. No landlord worth his salt will provide homes to benefit claimants or unemployed migrants. Hence the need for anti-discrimination laws in the Renters Rights Bill.

I think war will come to the U.K. within 10 years. Many of our inhabitants have allegiances with other countries so good luck with conscription.

Fed Up Landlord

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14:03 PM, 23rd October 2024, About 4 weeks ago

This government and the previous one hates landlords. And you know what? I hate them as well with a passion. Invest for your old age we were told.Well we did and they s**t all over us.

From thirteen properties in 2016 down to two this year. Only one sold to another LL. Managed to sell all my capital gain big hitters while CGT allowance was £12,400.

Last two to go next year along with the hassle of being an RTM director as nobody else wants to do it. As soon as the flats gone then the other three leaseholders will be asked to be directors. If not I will liquidate the RTM Co and they can pay £2500 a year in service charges rather than £1300.

Had enough. I'm going, going, and soon to be gone.

Mick Roberts

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14:24 PM, 23rd October 2024, About 4 weeks ago

Reply to the comment left by Paul Feeney at 23/10/2024 - 10:27
That's relax the rules & tenants will have more choice.
Angela Rayner in Parliament said today.
We doing this RRB for tenants being ripped off by minority of Landlords.
She just said it
Minority.
So why do majority of tenants & majority of Landlords have to suffer?

Mick Roberts

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14:25 PM, 23rd October 2024, About 4 weeks ago

Reply to the comment left by Cider Drinker at 23/10/2024 - 13:41
Well said Cider
Huge fines for minor oversights.

Mick Roberts

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14:28 PM, 23rd October 2024, About 4 weeks ago

Share this & add to this & tell me what else I want to keep in this list please:

A background to why you tenants are paying extortionate rents and can't get anywhere unless you earning a cracking wage-Blame the Govt and Councils you vote for because you like it when they give more regs & rules to the Landlord-Guess who pays for this? You do.

I'm the biggest private provider to Benefit tenants in Nottingham over 27 years and not once has the Govt and Council come to ask me What they can do for me, so I and my colleagues will take the people we used to take. I will add to this list as I remember more.

They wanted Pet deposits banned. We stopped taking pets. Description here https://docs.google.com/document/d/1u54ouYTdNr7WaCPYW18Q_tZdlJr8-VwSUJpE0IcPf5k/edit?usp=drivesdk

They don't want Landlords helping tenants with Benefits and they bought in Universal Credit which has zero communication with Landlord- We now don't take Benefit tenants.

They bought in Selective Licensing on good Landlords with good houses. We put the rents up to cover it and now don't take risky tenants.

Landlord can get fined £30,000 if tenant takes battery out smoke alarm and Landlord CAN'T prove that tenant did it.

Landlord can get fined £30,000 if renting 1 bed flat to single person and he/she moves his/her partner in unbeknown to the Landlord if the Selective License only has license for one occupier.

They started fining Landlords £5000 if they didn't check tenants passport properly on Right to Rent checks-Landlords stopped taking anyone that had the slightest chance of being illegal immigrant. Innocent UK citizens suffered.

2015, they bought in that if Landlord CANNOT PROVE he/she has gave tenant boiler certificate, you can never get your property back. Even if had a new boiler 5 years later, Judge says Not bothered, u not having your house back. This helped the current bad tenant, hurts the next 100,000 tenants waiting for a home. A purely Anti Landlord measure to stop Landlord getting rid bad tenant or having his house back.

Oct 2024 Unison now wants a rent freeze. Ooh are we a charity are we? What other individual who sells or provides something is told YOU CANNOT charge a price u wish?

Oct 2024 the Renter Rights Bill is going to make it law, u can't do rent increase unless use Section 13. Now for years, I've agreed informally with tenant 'Ok £25 a month, u still £200pm now below anyone else.' Job done.
Now, I'm totally full up with paperwork and rules and regs. I have no more time. Section 13 some more say only a few mins. It's still 30 mins by time printed, filled in, signed, scanned, sent. Each one when u have lots of houses on top of Selective Licensing INSISTING we inspect each house every 4 months (two weeks solid just on inspections every months) is taking me over the edge. My existing tenants are going to have to go with Letting Agent who charge £50 for a Section 13. That's £4pm extra on the rent. Along with the extra £80pm Letting Agent fee which gets rid of cheap rent was charity.

Sep 2024 Ed Miliband MP wants all houses to EPC C which will cost Landlords £5000 and increase tenants cheap rents. As soon he announced this, he made more tenants homeless. Few words on that here: https://docs.google.com/document/d/1eI7z29SNRCDLLwX6_0QQChrwTxZ4jGZw4UNybVYfD1s/edit?usp=drivesdk

Section 24 Tax bought in by George Osborne of the Tories who said it will only affect 1 in 5 Landlords-Thats over 2 million tenants put at risk of homeless. Landlords with tenants of 25 years are now being made homeless on this one action alone.

Oct 2018 I've heard there's a part of the RRB that says we must give tenants our home address on paperwork.
Details of that here: https://docs.google.com/document/d/1v7aETrvz0j6CdS7LZwYukthZAbhNxLWRKR8qShi6Gok/edit?usp=drivesdk

Every anti Landlord measure they bring in to they think will help the tenant has hurt the tenants massively.

Every time the MP's talk an anti landlord measure, they've made more homeless and increased rents.

Downsize Government

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14:47 PM, 23rd October 2024, About 4 weeks ago

The solution is to downsize Government.
Less regulations and less taxes.

However the current administration contort facts to try and feel they are doing the right thing by maintaining the Government size and upsizing it.
Its a failed practice wherever it is tried.

Godfrey Jones

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15:35 PM, 23rd October 2024, About 4 weeks ago

On one of my EPC's it recommends underfloor insulation with an estimated cost of £6,000. It then shows a yearly saving to the Tenant of £59.00. So Mr Mad Bad Ed Milliband I personally would never see any benefit.
My Tenants probably wouldn't live long enough to see the benefit and do you really see any common sense whatsoever in a Landlord having to pay out £6,000 for their Tenant to be £59 per year better off. By the Governments own calculations it would take over 101 years before it paid for itself. MADNESS! UTTER MADNESS! And the worst part: PEOPLE COULD LOSE THEIR HOMES OVER THIS IDIOTIC ILL THOUGHT OUT BUREAUCRACY!!

Cider Drinker

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16:20 PM, 23rd October 2024, About 4 weeks ago

Reply to the comment left by Godfrey Jones at 23/10/2024 - 15:35
Ah but, if they can save 1kW of energy per property, regardless of the cost - so long as it’s not the Treasury, that’s a little. Ore energy to help power the 1.5 million homes that Labour say will be built by 2029.

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