Budget 2015 – Government intend to make it easier to sublet!

Budget 2015 – Government intend to make it easier to sublet!

10:21 AM, 19th March 2015, About 9 years ago 64

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Almost buried on page 51 of the Budget Red Book the Chancellor gives a very brief outline of his intention to prevent the Private Rental Sector from stopping tenants being able to sublet.

This document states:

“Support for the sharing economy 1.193

The government wants to ensure that Britain is the global centre for the sharing economy, enabling individuals and businesses to make the most of their assets, resources, time and skills through a range of online platforms. This Budget therefore announces a comprehensive package of measures that will break down barriers, create opportunities for sharing, and unlock the potential of this dynamic and growing area. Building on the recommendations of the independent review of the sharing economy, the government will:

Make it easier for individuals to sub-let a room through its intention to legislate to prevent the use of clauses in private fixed-term residential tenancy agreements that expressly rule out sub-letting or otherwise sharing space on a short-term basis, and consider extending this prohibition to statutory periodic tenancies.”

Link to the full document

Alan Ward, the RLA chairman said:

“The measures on sub-letting are a nightmare in the making and smack of ‘back of the fag packet’ policy making.

Key questions remained unanswered such as who will be responsible for a property if the tenant sub-letting leaves the house but the tenant they are sub-letting to stays? Similarly, given the Government wants landlords to check the immigration status of their tenants, who would be responsible for checking the status where sub-letting occurs?

Whilst the RLA awaits further detail on this measure, it is difficult to see landlords supporting it.”

budget 2015


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Comments

Mark Alexander - Founder of Property118

11:37 AM, 9th April 2015, About 9 years ago

Reply to the comment left by "Ian Narbeth" at "09/04/2015 - 10:07":

Thanks for making that point Ian, yet more proof of how politics and law mix like oil and water!!!
.

15:13 PM, 9th April 2015, About 9 years ago

I don't understand why anyone has wanted to spend time and effort legislating for something that already happens, i.e. tenants can currently ask their Landlords anything they want to so why legislate for it?

I think there's more to this

Suspicious Landlord

Ian Ringrose

15:33 PM, 9th April 2015, About 9 years ago

Firstly it stops an agent having a policy of always saying no; the request must be passed onto the landlord.

It also sets the expectation, so mortgage lenders and insurance companies will have to explain why they don’t allow it.

In real life there is little a landlord can do anyway apart from issue a S21 if the tenant just allows their “friend” to move in.

Ian Narbeth

16:28 PM, 9th April 2015, About 9 years ago

@Roanch "I don’t understand why anyone has wanted to spend time and effort legislating for something that already happens"

Please read my earlier post on the preceding page which explains the position. If there is a complete prohibition on subletting the landlord can ignore the request or refuse for no reason. If consent is not to be unreasonably withheld the LTA 1988 may apply and the landlord needs to be very careful indeed.

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