Industry body warns Renters’ Rights Bill could cause homelessness despite Mayor’s pledge

London Mayor Sadiq Khan has pledged to end rough sleeping by 2030, but an industry body warns the Renters’ Rights Bill could lead to an increase in homelessness.

Propertymark welcomes Mr Khan’s proposal to stop rough sleeping but urges the Mayor to support landlords rather than deter them from the market.

The news comes after research by Shelter reveals the number of people sleeping rough in England has more than doubled since 2010.

Proud to deliver on promise

Under Mr Khan’s new plan to end rough sleeping, he says he will invest in prevention programmes to end rough sleeping.

These plans include expanding his Homes for the Streets programme by refurbishing up to 500 empty homes, and putting more support workers and volunteers in food banks to support people and prevent them from being forced to sleep on the streets.

Mr Khan claims this plan will end the rough sleeping crisis in London.

He said: “During my election campaign, I promised to develop a plan to end rough sleeping for good by 2030. I’m proud to be delivering on that promise.

“We know the best way to end rough sleeping is to stop it before it starts. That’s why we’re putting prevention at the heart of our response, extending our network of Ending Homelessness Hubs, that provide 24/7 support to those most at risk of sleeping rough. It’s why we’re launching a preventing homelessness phoneline.”

He adds: “We are also funding more support workers in our communities – in places like day centres and food banks.  We’re also providing people with long-term routes off the streets, through our Homes off the Streets programme. For the first time, we’re unlocking 500 empty homes, in need of refurbishment, that will be brought back into good condition and ringfenced for those that need them most.

“This plan is being backed up by £17 million in additional funding, which is on top of the £10 million we announced in January this year.”

Unitended consequences that could destabilise the housing market

However, the industry body warns whilst the Renters’ Rights Bill aims to safeguard tenants it could cause unintended consequences by causing landlords to leave the market and leave tenants with nowhere to live.

The industry body says: “While the bill is designed to enhance protections for tenants, it risks unintended consequences that could destabilise the housing market and worsen homelessness.

“Propertymark supports initiatives that promote fairness and safety for renters; however, we are concerned that excessive regulation may deter landlords from entering or remaining in the private rented sector.

“At a time when housing supply is already under significant strain, any further drop in available rental properties could intensify competition, push up rents, and leave vulnerable people with fewer affordable housing options.

“To prevent a rise in homelessness, the government must strike the right balance, safeguarding tenant rights while creating a legislative environment that encourages investment and sustains rental housing availability.”

More support for landlords

Propertymark points out the private rented sector can play a key role in helping to prevent homelessness.

The industry body says more support should be given to landlords, including targeted tax relief to end homelessness.

Propertymark says: “The private rented sector has a key role to play, and should be included in homelessness prevention strategies, however, the sector must be supported with clear policies and incentives to encourage landlords to offer long-term, affordable housing solutions.

“Propertymark continues to encourage the UK and devolved governments to consider measures such as tax relief for landlords who house individuals transitioning from homelessness, as well as funding for rent guarantee schemes that reduce the risks associated with letting to vulnerable tenants.”