Sadiq Khan wants landlords to pay ‘tenant relocation payments’

Sadiq Khan wants landlords to pay ‘tenant relocation payments’

14:55 PM, 4th August 2022, About A week ago 15

Text Size

London Mayor Sadiq Khan is urging the next Prime Minister to bring in ‘tenant relocation payments’ when a renter is being moved through no fault of their own.

He made the comments to the London Assembly during a debate on the Fairer Private Rented Sector White Paper that has been published by the government.

The proposals in the White Paper include the ending of Section 21 evictions, make it tougher for landlords to refuse a tenant with a pet and outlawing landlords not renting to tenants on benefits or families with children.

However, Mr Khan told the Assembly that the proposals should go further and urged whoever becomes the next Prime Minister to pay the moving costs of tenants who are asked to leave a property when they have done nothing wrong.

Freeze rents in London for up to two years

He also wants to freeze rents in London for up to two years – or until the cost-of-living crisis is resolved – and introduce extended notice periods.

Mr Khan said: “Renters have waited far too long for these reforms, which are crucial to better balance the rights of landlords and tenants living in the private rented sector.

“Renters now need to see legislation brought forward with the utmost urgency so they can live safely and securely in their homes.”

He said the White Paper contains several recommendations that are in the London Model Tenancies Reform blueprint, including the ending of Section 21 evictions and introducing open-ended tenancies with no fixed term breaks or break clauses.

‘Build on the success of the Rogue Landlord and Agent Checker’

Mr Khan said: “I am also pleased to see the inclusion of a property portal; the landlord register I have campaigned for, and which will build on the success of the Rogue Landlord and Agent Checker I established in London.

“However, crucial elements are missing from the White Paper proposals if all renters, particularly those who are the most vulnerable and households with children, are to truly see the benefit of these reforms.

“These include extended notice periods, tenant relocation payments and freezing rent for the next two years, particularly during this cost-of-living crisis.”

He added: “It is really important whoever becomes the next Conservative Leader and therefore our Prime Minister commits to deliver on these as soon as possible.”



Comments

TheMaluka View Profile

15:25 PM, 4th August 2022, About A week ago

Quite happy to freeze my rents for the next two years provided my costs are also fixed for the next two years and I am provided with an effective means of collecting all the rent.

Since I have never evicted a tenant without good reason I have nothing to fear from any moving cost obligation.

KarenS

17:53 PM, 4th August 2022, About A week ago

I’d like energy prices frozen, perhaps he could focus on that first…..

When will he learn PropCos are a business, and like other businesses have to put up prices to cover their increasing overheads.

Pamthomp33

8:04 AM, 5th August 2022, About A week ago

So, let's build in enough funds into the tenants rent to cover such eventualities - it's the tenants who will still pay for this stupid proposal. They are already proposing that landlords can only evict through not paying rent, anti social behaviour or if the landlord wants to sell or move back in. I think that is restriction enough. Its a no wonder there are less properties for rent which in turn is putting prices up.

Ian Narbeth View Profile

9:45 AM, 5th August 2022, About A week ago

We should not dismiss Khan's proposal about ‘tenant relocation payments’ out of hand. For nearly 70 years the commercial property market has coped with "statutory compensation" under the Landlord and Tenant Act 1954 whereby a landlord wanting to redevelop or to occupy the property himself compensates the tenant.

Unfortunately, that ship has probably sailed and if section 21 is abolished outright then evictions will only be fault based so the matter of compensation won't arise.

A scheme whereby the tenant had to go by a specified date and received compensation on leaving might work. Even better if the compensation reduced if the tenant did not leave by the stated date - but was still obligated to leave. That would stop tenants gaming the system and give landlords more certainty about the date they would get the property back.

DSR

11:50 AM, 5th August 2022, About A week ago

Here is again - coming out form under his stone....

So he expects a LL to pay the costs of moving a tenant out when 'it is not their fault' under a S8?

so what ground exactly does he mean this will come under. The AST will have been signed by the tenant in full knowledge that a S8 mandatory grounds mean just that. A 'fault' is neither required nor proven nor evidenced.

That leaves discretionary grounds which even if new ones come in, the LL has anyway to prove 'fault' or tenant cause to use anyway.

4.2 Discretionary grounds
4.2.1 Ground 9: alternative accommodation
4.2.2 Ground 10: rent arrears
4.2.3 Ground 11: regular failure to pay rent
4.2.4 Ground 12: breach of tenancy agreement
4.2.5 Ground 13: neglect of property
4.2.6 Ground 14: anti-social behaviour
4.2.7 Ground 14a: domestic violence
4.2.8 Ground 15: poor treatment of furnishings
4.2.9 Ground 16: tied to employment
4.2.10 Ground 17: false statements

Conclusion - load of tosh to add to more LL bashing.

Beaver

14:46 PM, 5th August 2022, About A week ago

Reply to the comment left by Ian Narbeth at 05/08/2022 - 09:45
If you have given plenty of notice why should you be obliged to 'compensate' the tenant for moving back into your own home?

Dylan Morris

14:55 PM, 5th August 2022, About A week ago

Reply to the comment left by DSR at 05/08/2022 - 11:50So rent arrears is to become a discretionary ground ?

Are there to be any mandatory grounds or are we going to be totally dependant on whether the Judge is having a good or bad day ?

Gromit

16:58 PM, 5th August 2022, About A week ago

Reply to the comment left by Pamthomp33 at 05/08/2022 - 08:04
Khan & all the woke lefties haven't a clue how businesses operate. The notion that the Customer always pays us totally alien to them!

david porter View Profile

19:01 PM, 5th August 2022, About A week ago

I think Khan is missing an opportunity. He could require the tenant's bed to be made up and a chocolat to be left on the pillow every evening.

Darren Peters

22:16 PM, 5th August 2022, About A week ago

If landlords should pay relocation payments then so should the GLA when tenants are forced to leave an area because they don’t feel safe because of knife crime, mugging & drug dealers operating with impunity since Mayor Khan is responsible for the police and it’s priorities.

1 2

Leave Comments

In order to post comments you will need to Sign In or Sign Up for a FREE Membership

or

Don't have an account? Sign Up

Landlord Tax Planning Book Now