Queen’s Speech 2021 – Landlord Reactions

Queen’s Speech 2021 – Landlord Reactions

17:13 PM, 11th May 2021, About 3 years ago 33

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My Government will help more people to own their own home whilst enhancing the rights of those who rent.

Laws to modernise the planning system, so that more homes can be built, will be brought forward, along with measures to end the practice of ground rents for new leasehold properties [Planning Bill, Leasehold Reform (Ground Rent) Bill].

My Ministers will establish in law a new Building Safety Regulator to ensure that the tragedies of the past are never repeated [Building Safety Bill].

In more detail the Renters’ Reforms

“My Government will help more people to own their own home whilst enhancing the rights of those who rent.”

The Government is committed to building back fairer and having a Better Deal for Renters in England. Later this year we will: publish our consultation response on reforming tenancy law to abolish Section 21 ‘no fault’ evictions and improve security for tenants in the private rented sector, as well as strengthening repossession grounds for landlords when they have valid cause.

Outline proposals for a new ‘lifetime’ tenancy deposit model that eases the burden on tenants when moving from one tenancy to the next, helping improve the experience of those living in the private rental sector.

Bring forward reforms to drive improvements in standards in rented accommodation, including by ensuring all tenants have a right to redress, and ensuring well targeted, effective enforcement that drives out criminal landlords, for example exploring the merits of a landlord register. We will publish a White Paper detailing this reform package in the autumn, and legislation will follow in due course.

There will be extensive stakeholder engagement working with the sector to inform and shape reforms. This will ensure the reforms deliver a private rented sector that works for both tenants and landlords, while also learning from the pandemic and its impact on the sector.

This reform package is also expected to require all private landlords to belong to a redress scheme, to drive up standards in the private rented sector and ensure that all tenants have a right to redress.

Consider further reforms of the private renter sector enforcement system so it is well-targeted, effective and supports improvements in property conditions. This will include a set of measures to hold bad landlords to account for delivering safe and decent housing to tenants without penalising good landlords.

Explore improvements and possible efficiencies to the possession process in the courts, to make it quicker and easier for landlords and tenants to use.

We will continue to deliver on the Social Housing White Paper proposals, including implementing the Charter for Social Housing Residents, delivering transformational change for social renters. We will also continue to develop reform of social housing regulations and look to legislate as soon as practicable. These reforms will drive social landlords’ compliance with improved consumer standards and place social renters’ interests at the heart of the regulatory system. We have already launched a review of the Decent Homes Standard, a working group on electrical safety, and held a consultation on smoke and carbon monoxide alarms, three key aspects of our commitment to ensure safe and decent homes, as well as running a national campaign to raise awareness of how to seek redress.

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Neil Patterson

17:24 PM, 11th May 2021, About 3 years ago

Paul Shamplina of Landlord Action, said:
“It was expected that the Queen would make reference to the Renters Reform Bill; I’ve been predicting for a while that Section 21 will be abolished in the next 12-18 months, but there has to be reforms of the Section 8 Grounds and major investment made in the Court System coupled to bailiff reforms, especially in the wake of Covid and the lengthy evictions ban”

Chris @ Possession Friend

18:02 PM, 11th May 2021, About 3 years ago

So do ALL Tenants have to belong to a prescriptive group with arbitrary powers ? - silly question.


18:18 PM, 11th May 2021, About 3 years ago

How about a new ‘lifetime’ owneer stamp duty model that eases the burden on owners when moving from one Property to the next, helping improve the experience of those living in the private owners sector - no thought not!

Dylan Morris

19:04 PM, 11th May 2021, About 3 years ago

Silly question I know but......... have they given even the slightest explanation as to how this lifetime deposit scheme will actually work ?


20:08 PM, 11th May 2021, About 3 years ago

Reply to the comment left by Dylan Morris at 11/05/2021 - 19:04
Exactly Dylan. It sounds like a nonsense to me.

What does it even mean, a lifetime deposit, who rents for their whole life?

The point of a deposit, is that it may be used if needed.
If it is used, then its not for a lifetime.

I assume the government are trying to solve the problem, where tenants have to wait for their deposit, but need it for their next property.
But how are you supposed to carry your deposit from one to the next? If a tenant came to me, and said I can use the deposit from their previous rental when it comes available, it would not be good enough, because even the tenant won't know how much they will have until they move out.

Anyway, am sure some kind of random fudge will ensue where our masters can pat themselves on the back while achieving less than nothing.

Luke P

20:39 PM, 11th May 2021, About 3 years ago

Reply to the comment left by TheBiggerPicture at 11/05/2021 - 20:08I can only see this working if every tenant sends to the deposit company the five week maximum of, say, £1,000…TWICE. It’s safe with the deposit scheme, with only one lot tied to their current property. When they want to move, the second lot is ‘assigned’ to the second property. If any deductions are subsequently made from the first, the tenant MUST repay the amount to top back up BEFORE they can move. If they don’t, it’s not the bast LL preventing their move, but their own previous actions. They could even (slowly) return the amount with any interest accrued - that way, a long-time well-behaved tenant will end up with all their initial outlay back, yet still have a fully topped up (‘double’) deposit.
Not a chance it’ll happen like that, though.

My biggest fear is once this is in and implemented, this will be the ONLY request a LL can make, thus making guarantors disallowed. And then it really is game over!

Dylan Morris

21:10 PM, 11th May 2021, About 3 years ago

The only way this will work is if the current landlord is not allowed to claim on the deposit as it needs to be transferred to the new landlord. Essentially making the deposit worthless. Yep that’s their plan. To essentially ban deposits via this sort of ridiculous nonsense. They really do hate us that much, they really do.

John P

6:04 AM, 12th May 2021, About 3 years ago

This is bound to be a political issue for pressure groups because it is a (real or percieved) problem for tenants. Just at the time they have other expenses relating to removal, they need to find a new deposit before they get back (the amount due) on the previous one.
A scheme might be made to work if deposits were held in an insured fund. For an individual tenant, the cover would only be required for a few weeks, so it wouldn't need each tenant's deposit to be doubled. Tenants with a claim against them would have to repay it to the fund, possibly with time to pay.

This approach would create opportunities for insurance companies, allow market forces to regulate the cost, and take political pressure off the government.

Luke P

7:22 AM, 12th May 2021, About 3 years ago

Reply to the comment left by John P at 12/05/2021 - 06:04
Do you deal with tenants often? Particularly the ones that make regular ‘use’ of their deposits? Many will simply not repay any deductions and I dint for one second see Govt. making that the tenant or, possibly, LA/public services problem…it’ll be shifted to the LL. Perhaps it would be deemed ‘unfortunate’ that they had not repaid previous deductions and that now their deposit is less than expected. I can envisage them going a step further and actively preventing a LL knowing how much is/isn’t in a tenants deposit scheme until it’s called upon, only that they do indeed have a lifetime deposit (of any amount).

Ian Narbeth

10:27 AM, 12th May 2021, About 3 years ago

The Government will "bring forward reforms to drive improvements in standards in rented accommodation, including by ensuring all tenants have a right to redress".

How does making all landlords belong to a redress scheme help? Unless the plan is to ban people from being a landlord, presumably leaving their current tenants in situ? We have courts and a legal system to provide redress. The courts are not slow to penalise defaulting landlords. (Notice that nobody ever says the courts are not slow to penalise defaulting tenants!)

The problem for tenants is not tenants needing redress. It is a few bad landlords providing sub-standard dangerous accommodation. It is landlords who need redress from defaulting tenants who are enabled to stay on without paying rent for months and then do a runner.

Try a thought experiment. At the end of the calendar year ask : How much in aggregate is owed but unpaid by tenants to landlords and how much is owed by landlords to tenants? I would hazard a guess that tenants owe landlords hundreds of times more than landlords owe tenants. There is no great problem of damages awarded against landlords not being paid.

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