Decent Homes Standard must be balanced to avoid shrinking supply – Propertymark

An industry body has warned the Decent Homes Standard must raise standards without reducing housing supply.

Propertymark has cautioned that any reforms to the Decent Homes Standard must “incentivise landlords to invest in improvements rather than create further uncertainty.”

The warning comes after the government’s Decent Homes Standard impact assessment was criticised as “not fit for purpose” by the Regulatory Policy Committee.

Reform must be balanced

The government has announced all private rented properties and social homes will need to meet the Decent Homes Standard by 2035.

However, Propertymark says the target must be delivered in a way that protects the supply of private rented sector (PRS) homes.

Propertymark writes on its website: “Any reform to the Decent Homes Standard must also consider the wider pressures on supply. The PRS houses millions of households and plays a crucial role in meeting housing needs.

“Improving housing quality and maintaining supply are not mutually exclusive goals, but they require careful policy design. Reform must be balanced with measures that support and incentivise landlords to invest in improvements and avoid creating further uncertainty.

“It is also vital to ensure welfare support keeps pace with rents, so welfare-dependent and vulnerable tenants have reliable access to a sustainable PRS.”

Regulatory burden for landlords

The industry body has also warned the new standard must be clear and workable rather than another regulatory burden for landlords to deal with.

Propertymark explained: “The PRS is already subject to extensive legislation, and statutory provisions affecting private landlords have increased significantly over the past decade.

“However, complexity does not automatically lead to better homes. Enforcement activity has historically been limited, with relatively low levels of inspections and action taken against landlords.

“This underlines a core issue: introducing or revising standards such as the DHS will have limited impact if local authorities lack the resources to enforce them. More funding is needed for local authority enforcement teams, and there must be greater transparency around inspections and outcomes.

“Without these changes, there is a risk that new Decent Homes Standard requirements could add to regulatory burden without tackling the minority of substandard properties that damage the sector’s reputation.”

Regulation for letting agents

Propertymark adds, alongside better enforcement, the regulation of letting agents is key to raising standards and helping landlords understand their obligations under the Decent Homes Standard.

The industry body explained: “One of the most effective ways to improve housing quality is to ensure that those managing property are competent, qualified and accountable. Qualified and regulated agents are far better placed to advise landlords on meeting standards, carry out proactive inspections, and resolve issues before they escalate.

“The current lack of minimum standards creates inconsistency in service levels and leaves consumers exposed to poor practices.

“We have set out clear recommendations for a new regulatory framework, which includes minimum qualification requirements, a statutory Code of Practice, mandatory Continuing Professional Development, and an independent regulator with enforcement powers. “