NRLA feedback for government on rental reforms

NRLA feedback for government on rental reforms

16:54 PM, 11th May 2021, About 6 months ago 7

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Responding to the Government’s commitment in the Queen’s Speech to publish a White Paper later this year on reform of the rental sector, Ben Beadle, Chief Executive of the National Residential Landlords Association said:

“We welcome the Government’s commitment to publish a White Paper on reforms to the rental sector and consult widely before introducing a Bill.

“What is proposed amounts to some of the biggest changes in the private rented sector for over 30 years. We urge the Government and all others in the sector to use the time they now have to ensure that the reforms are fair and workable for both tenants and landlords.

“This must include comprehensive grounds upon which landlords can legitimately repossess properties, the development of a new tenant-landlord conciliation service to help sustain tenancies wherever possible and court reform to ensure possession cases are dealt with much quicker than the year or more currently being taken.

“Lifetime deposits for tenants provide an opportunity to reduce the upfront cost of renting, but they need to work for all concerned.

“We welcome also the Government’s ambitions to drive out bad landlords from the sector without penalising those who do the right thing. We want to root out all those who bring the sector into disrepute.”



Comments

by DGM

19:28 PM, 11th May 2021, About 6 months ago

What about the Governments ambition to root out bad tenants, which far outnumber bad bad landlords - Ah. just answered my own question, more bad tenants equals more votes for governments ill thought out ideas.

by TheBiggerPicture

20:11 PM, 11th May 2021, About 6 months ago

Reply to the comment left by DGM at 11/05/2021 - 19:28
DGM, well what you are suggesting is balanced legislation.
HA! 🙂

by John P

6:25 AM, 12th May 2021, About 6 months ago

'Lifetime deposits for tenants provide an opportunity to reduce the upfront cost of renting, but they need to work for all concerned.'

One way might be through deposits held in an insured fund that indemnifies landlords. Tenants would make deposits into the fund, and any succesful claims against them would have to be repaid, possibly with time to pay. Insurance would cover potential defaults.

This approach would create opportunities for insurance companies, allow market forces to regulate the cost and involve no cost to the taxpayer.

Problem solved and political pressure off the government. Lets get it done!

by Ian Narbeth

10:33 AM, 12th May 2021, About 6 months ago

Reply to the comment left by John P at 12/05/2021 - 06:25Absolutely agree. I wrote about this here https://www.property118.com/the-flawed-call-for-evidence-over-tenancy-deposits/
but it does not appear anyone in Government understands basic maths. 2 minus 2 does not equal 2. If a deposit is used to compensate the old landlord it is not available for the new. Not a hard concept to grasp, unless you are a Housing Minister.

by Luke P

11:53 AM, 12th May 2021, About 6 months ago

Reply to the comment left by John P at 12/05/2021 - 06:25
It'd end up being the LL's problem in a lot of cases, because the very tenants that make 'use' of their deposit will not pay it back or they will use what should have been their rent money to the new LL to repay any previous deductions. Insurance is based on risk and even if all tenants had an equal start, those insurance companies that had to pay out in order to cover any shortfall not repaid by the tenant would then not insure going forward. The way Govt. write laws in this industry never relies on personal accountability by the tenant.

I'd even be happy for the Treasury, via my taxes, to stump up everyone's lifetime deposit, just as long as when it is called upon and a tenant fails to repay, they are completely, wholly & entirely locked out of the market and benefits until they have done so, with interest accruing daily.

I can't believe I'm even having to say this for a deposit, by its very nature, is to create tangible/financial incentive to meet those responsibilities.

by DALE ROBERTS

15:18 PM, 12th May 2021, About 6 months ago

My experience over the last 5 years is that tenants don't pay the final months rental in order to "recoup" their deposit. A sum they are convinced is theirs and spitefully extracted from them for the landlords sole benefit.
We are not going to win this one sided war.
The view that we are scum is so solidly entrenched in the UK mindset that it has become accepted rhetoric.
And frankly the response from the NRLA is as tepid as always.
I have one more property to sell before I am free of this.
I can hardly wait.

by Chris Phoenix

16:46 PM, 12th May 2021, About 6 months ago

Reply to the comment left by DALE ROBERTS at 12/05/2021 - 15:18
Clever landlords have it written into contract that deposit will be returned in full by the Deposit scheme. I will be calculating the daily rental rate for my final payment of rent as my exit date is partway through month. It took 14.5 years to have my deposit placed with TDS and will probably take another 10 years to receive back. Hey ho


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