Council says housing crisis is worsening as landlords exit market

Council says housing crisis is worsening as landlords exit market

9:44 AM, 13th February 2024, About 3 months ago 29

Text Size

Thurrock Council has revealed the growing challenges it faces in providing housing help to its residents, as the cost-of-living crisis and the exit of landlords from the private rental market put pressure on the system.

The council’s housing service has seen a 22% increase in homelessness demand compared to the same period last year and a similar rise in temporary accommodation placements.

In a homelessness update this week, Thurrock attributes this to a combination of factors, including higher rental costs, lower Local Housing Allowance rates, inflationary pressures on household budgets – and fewer landlords with homes to rent.

‘The number of landlords leaving the market’

Christopher Wade, the council’s head of housing solutions, said: “The council’s ability to mitigate against increases in temporary accommodation, and to discharge appropriately into the private rented sector is significantly impacted by the number of landlords leaving the market.”

He also warns that the Government’s aim of moving asylum seekers from hotels is also adding to the demand for social housing.

Mr Wade adds: “The council is looking at alternative methods of procurement for discharge properties, in particular in the private rental market, in order to diversify our offer to landlords, and recently signed up to Rentsurance, a rent insurance scheme which can cover non-payment of rent up to £2,500 per month for an annual premium of between £350 and £470 per annum.

“This is being offered to landlords as an incentive in place of the financial one, or else in tandem with a reduced financial offer to maximise impact.”

London councils utilising the town’s private rented stock

Thurrock is also seeing, the report highlights, a growing trend of London councils utilising the town’s private rented stock to house people on their social housing waiting lists.

The council is now looking at a housing budget overspend of £468,000 to deal with its growing demand issues.

Councillors will also be told that there is a high turnover of experienced housing officers from Thurrock being attracted to higher salaries with nearby London authorities.


Share This Article


Comments

Dave Bisset

13:13 PM, 17th February 2024, About 3 months ago

Scotland is worse as there's a ban on no fault evictions and a rent cap. I'm selling up as soon as I can evict my troublesome tenant. There is NO incentive to have a buy to let anymore. Can someone explain to the politicians that basic economics predicts there will be less supply and increasing demand and that'll lead to higher rents and a slum landlords market.

David100

10:50 AM, 18th February 2024, About 3 months ago

Reply to the comment left by John Grefe at 17/02/2024 - 09:56
That was sort of my point. They are very good at telling us how we should spend our money, while not being capable of providing the service themselves. They need to control their budgets, not (the golden prize of socialism) "other peoples money"

JeggNegg

12:44 PM, 18th February 2024, About 3 months ago

Reply to the comment left by Tom McGrath at 13/02/2024 - 13:55
I agree with your idea of creating a National Housing Service, but as soon as possible But run by property people and outside of politics
With less planning restrictions, and some financial incentive from the chancellor in the next budget to encourage the private sector to solve the problem.
I hope I am not dreaming, but successive governments have failed to deliver this basic requirement for far too long.

JB

15:34 PM, 18th February 2024, About 3 months ago

Reply to the comment left by JeggNegg at 18/02/2024 - 12:44
You are dreaming

GlanACC

18:18 PM, 18th February 2024, About 3 months ago

Surely this can't be true as both the government and Labour have said landlords exiting the market is not having any effect

Blodwyn

18:22 PM, 18th February 2024, About 3 months ago

I do hope this thread is not leading to the Ultimate Dream, Believe What Politicians Say?

Seriously, would such an agency need quite a lot of funding to get it off the ground or is there enough interest to set up a working mutual?

Tom McGrath

18:47 PM, 18th February 2024, About 3 months ago

Both political parties have been seduced into trying to bring about a 'property-owning democracy.'
Poor people don't want to own property: they just want to live somewhere decent. Like they don't want to own a hospital, they just want treatment for their ills.

Old Mrs Landlord

21:28 PM, 18th February 2024, About 3 months ago

Reply to the comment left by GlanACC at 18/02/2024 - 18:18
Angela Rayner: "There's plenty of landlords".

Chris @ Possession Friend

21:49 PM, 18th February 2024, About 3 months ago

Reply to the comment left by Old Mrs Landlord at 18/02/2024 - 21:28These recent comments reminds me of a saying,
' How do you know if a politician is lying, - you can see their lips moving ' !

Leave Comments

In order to post comments you will need to Sign In or Sign Up for a FREE Membership

or

Don't have an account? Sign Up

Landlord Tax Planning Book Now