Shelter calls for stricter eviction rules under the Renters’ Rights Bill
1 year ago | 9 comments
Pennycook: ‘We don’t want an exodus of landlords’
2:44 PM, 23rd October 2024, 1 year ago
71
The Housing Minister Matthew Pennycook says he doesn’t want landlords to leave the private rented sector (PRS) – and he’s seen no evidence that it is happening.
Speaking to MPs at the Committee stage of the Renters’ Rights Bill, Mr Pennycook was asked what his biggest takeaway from the day’s hearing was.
He replied: “We don’t want an exodus of landlords from the sector, but I’ve seen absolutely no evidence of that.
“I think this is a threat that has been bandied about for many, many years now.”
‘There has been an outflux of smaller landlords’
He went on to say that the size of the PRS had ‘doubled since the early 2000’s’.
Mr Pennycook said: “I would say there has been an outflux of smaller landlords, particularly over-geared buy to let landlords.
“That is mainly a result of section 24 tax changes that George Osbourne introduced in 2015 explicitly to slow the growth of the private rented sector so there has been an exit from the sector of certain types of landlords.
“But we are certainly not seeing an exodus.”
‘Good landlords have absolutely nothing to fear’
The Minister went to discuss the feedback from landlords he’d received in recent months.
He said: “The most damaging thing for many was the uncertainty about whether reform is coming through.
“In general, good landlords have absolutely nothing to fear from this system, we think it provides a framework in which they can continue to invest and operate.”
Mr Pennycook said the balance has been struck in the Bill between landlords and tenants and said the aim was not make things ‘much more difficult for tenants’.
He said: “That is why the government is not advocating for rent controls.
“I think the Scottish experience is constructive in terms of what can happen in terms of unintended consequences.”
Comments
Have Your Say
Every day, landlords who want to influence policy and share real-world experience add their voice here. Your perspective helps keep the debate balanced.
Not a member yet? Join In Seconds
Login with
or
Related Articles
Ben Beadle supports abolition of Section 21 but calls for urgent court reforms
1 year ago | 95 comments
Propertymark calls for a balanced Renters’ Rights Bill
1 year ago | 1 comments
Member Since October 2013 - Comments: 1630 - Articles: 3
5:52 PM, 28th October 2024, About 1 year ago
Reply to the comment left by Peter Merrick at 28/10/2024 – 17:28
You make an excellent case for getting out of BTL and into BTR.
Member Since June 2023 - Comments: 5
6:01 PM, 28th October 2024, About 1 year ago
Well I suppose there are always plenty of council houses, hotels, empty shops ex PRS tenants can use as PRS contracts.
Still don’t know how this minister has done his calculation, surely it’s basic economics supply and demand. Demand increasing supply reducing simple!
The reality is they are killing PRS without anything else to replace it! I have been a landlord for almost 40 years and have never seen such mess!
Member Since October 2022 - Comments: 200
8:56 PM, 28th October 2024, About 1 year ago
Reply to the comment left by NewYorkie at 28/10/2024 – 17:52
Thanks, though I’m not planning to for the moment. But when I retire I might consider selling up and investing in BTR for an actual passive income rather than all the hassle and commitment that comes with the PRS!
Member Since March 2024 - Comments: 6
6:37 AM, 29th October 2024, About 1 year ago
This government have not got a clue about the prs, all the expenditure regards evicting a tenant falls on the landlord, and then to add insult to injury the courts have such long waiting lists it cost the landlord a fortune in non payments of rent by the tenant, and then the council has the cheek to advise the non paying tenant to stay to the bailliffs come calling costing the landlord even further costs, and this government dont give a monkeys, because they dont build enough houses, so put all the onus on private landlords, alongside a court system that only supports tenants, while financially fleecing the landlord, john bromley
Member Since March 2024 - Comments: 6
7:34 AM, 29th October 2024, About 1 year ago
This government have not got a clue about the prs, all the expenditure regards evicting a tenant falls on the landlord, and then to add insult to injury the courts have such long waiting lists it cost the landlord a fortune in non payments of rent by the tenant, and then the council has the cheek to advise the non paying tenant to stay to the bailliffs come calling costing the landlord even further costs, and this government dont give a monkeys, because they dont build enough houses, so put all the onus on private landlords, alongside a court system that only supports tenants, while financially fleecing the landlord, john bromleybutchers
Member Since March 2024 - Comments: 6
7:54 AM, 29th October 2024, About 1 year ago
Reply to the comment left by Cause For Concern at 23/10/2024 – 11:06
You are 100% correct, there is no government fit to run the prs, and labour have run it into the ground, they crucify the landlord , because of their own incompetence in not being able to build enough houses, they just refuse to see the wood from the trees and continue to add to the problem, there not fit to run a bath, let alone the massive housing crisis they are creating, and to make matters worse they are clearly in denial of there incompetence, the damage there doing is beyond belief, John bromley
Member Since October 2013 - Comments: 1630 - Articles: 3
8:15 AM, 29th October 2024, About 1 year ago
Reply to the comment left by Peter Merrick at 28/10/2024 – 20:56
I have retired and almost out of BTL. My BTR dabble over the past few months is up 15.85%. It seems to be where the influence and momentum is.
Member Since October 2022 - Comments: 200
7:03 PM, 30th October 2024, About 1 year ago
Reply to the comment left by NewYorkie at 29/10/2024 – 08:15
You make an excellent case for getting out of BTL and into BTR!
Member Since October 2013 - Comments: 1630 - Articles: 3
8:08 PM, 30th October 2024, About 1 year ago
Reply to the comment left by Peter Merrick at 30/10/2024 – 19:03
Even more so with the additional
2% SDLT and increase in CGT. Why are they doing this?
Member Since October 2022 - Comments: 200
9:32 PM, 30th October 2024, About 1 year ago
Reply to the comment left by NewYorkie at 30/10/2024 – 20:08
Ostensibly to a) raise more money and b) “support” first time buyers versus investors.
We all know that the first will likely not raise any money. I have just cancelled a property purchase on a great little rental that was all agreed and ready to go through, so govt is going to get less, not more revenue, at least from me.
And the second will raise rents so tenants have even less money to play with to put towards a purchase.
And of course they are probably going to put SDLT thresholds back down to the now ludicrous £125K (£300K for FTBs), so most people will pay it and FTBs will have to stump up even more dead money for their purchase.
So ultimately, leaving home, renting and/or buying a house will increasingly become the preserve of those with means. Unless the much-vaunted huge increase in house building, especially social housing, comes to pass.