Shelter’s warning after landlord repossessions rise

Shelter’s warning after landlord repossessions rise

8:45 AM, 12th August 2022, About 2 months ago 10

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The number of landlord possession actions in England for all court stages has increased compared to the same quarter of last year, the Ministry of Justice has revealed.

In the latest data, they have compared April to June of this year, with the same period last year.

The figures highlight: landlord possession actions; claims (18,201), orders for possession (14,319), warrants (7,728) and repossessions (4,900) have increased by 160%, 164%, 104% and 210% respectively.

That has led the housing charity Shelter to warn that repossessions are ‘now at pre-pandemic levels’ before the eviction ban took effect.

It says that as the cost-of-living crisis bites, 3,405 households in the private rented sector were evicted by bailiffs between April and June – up 39% from the previous quarter.

However, a recent Property118.com story highlighted Landlord Action research that shows that rental property repossessions are 56% down on pre-pandemic figures.

Charity fears the situation will get worse

The housing charity fears the situation will get worse and points to previous government figures that highlight that in the first three months of the year, a quarter (25%) of households were found to be either homeless or at risk of becoming homeless because of losing a private tenancy (18,210 households).

This has increased by 94% in a year and is the second leading trigger of homelessness in England, the charity claims.

Polly Neate, Shelter’s chief executive, said: “Today’s figures paint a grim picture of households across England unable to keep their heads above water as the cost-of-living crisis bites.

“People who don’t leave their home before the bailiff comes are the ones who have run out of options and have nowhere else to go.”

She added: “The government must urgently unfreeze housing benefit, so it covers the true cost of renting before more families are evicted and pushed into homelessness.

“Whoever becomes the next Prime Minister needs to get a grip and put ending the housing emergency at the top of their to-do list.”

Don’t appear to show that repossession levels are lower

landlord repossession 2022 property118.comHowever, the Ministry of Justice figures don’t appear to show that repossession levels are lower than they were pre-pandemic.

The graph published by the ministry shows that repossessions by landlords are increasing – but they are still not at the levels seen since before the second quarter of 2019 – which is before the pandemic lockdown began.

Tim Frome, associate director at Hamilton Fraser, said: “From running the Property Redress Scheme, mydeposits and Landlord Action, we are seeing more and more examples of tenants getting into financial difficulty and the knock-on effect this can have on their tenancy.

“Shelter’s request for the government to unfreeze housing benefit could provide short term respite and we would recommend tenants raise any concerns they have with their landlords as quickly as possible.”

He added: “We have found early, and transparent discussion is the best way to find solutions to keep tenancies going.

“As we saw all during the pandemic and since, landlords do not want to lose good tenants so will, in most circumstances, work with their tenants to find suitable solutions.”

Contact Landlord Action

Specialists in tenant eviction and debt collection. Regulated by The Law Society.


Comments

DSR

10:30 AM, 12th August 2022, About 2 months ago

nothing more than further headline grabbing attention.

Unless there is a full breakdown of WHY LL's are requiring possession then NOTHING can be read into this.
Covid & Court backlogs still in effect too which skew the stats....

John Mac View Profile

15:28 PM, 12th August 2022, About 2 months ago

One way to immediately reduce repossessions would be to pay the HB element of UC direct to the LL.

Shelter should be pushing for this along side the demand to increase HB.

One without the other will not work, as increasing HB doesn't necessarily mean it will get to the LL.

john thompson

8:22 AM, 13th August 2022, About 2 months ago

Well done shelter, you are a BIG part of the reason rents are so high and the costs are now unfordable for so many tenants, and being a landlord is also becoming unaffordable as cost sore for us too!
Perhaps if you stopped the childish hatred and actually sat down with landlords and listened to their problems as well, you might actually come up with something to help landlords and the tenants they house.

Mick Roberts View Profile

10:46 AM, 13th August 2022, About 2 months ago

U 3 above say it all. It's time Shelter changed tack and started talking to us. As clearly their way isn't working and making homeless worse. Landlords packing up. Remaining landlords charge what they like.

I've just done a Section 21 Wowzers 20 pages. Sending by post in 2022. Actual time of the possession. Do we want to be doing that as we age? So we sell more now. Make it easy for us, and we'll house em all. We'll take a chance on anyone.

Shelter and retrospective regulations are wrecking it for low earning tenant's

Northernpleb

9:34 AM, 14th August 2022, About a month ago

You can see from the Figures that the System is being clogged up. From the 18000 claims only about 27% so far have got to actual possession . Also the Warrants to actual Repossession is only about 60% . Is it down to Breathing Space. Many may still in the system from Covid. Where they had to use Section 8. These must eventually work there way to possession.

Northernpleb

9:39 AM, 14th August 2022, About a month ago

What did the Government and Shelter think would happen when they take away all of the Landlords Rights. When the Renters reform bill comes into effect you can probably triple these figures.
I cannot understand how Shelter , Generation Rent , and the Government think they are helping the Tenants by forcing Rents up , and ensuring Housing Benefit, and Less than perfect tenants have no hope of obtaining a Home.

Richard P

18:36 PM, 14th August 2022, About a month ago

Why do Shelter shoot themselves in the foot, I never hear them say anything positive , just blame Landlords.

The stats will be up if courts have back logs and these are now being dealt with, they will be up further as Landlords have to deal with the cost of living to and many are just selling up so are serving notice on tenants so they can sell.

Also many Landlords are taking advantage of section 21 while it still exists , so they can get out of the market , I fail to see any surprises hear , except Shelter barking up the wrong tree again.

Tim Rogers

22:26 PM, 14th August 2022, About a month ago

Strangely, I suspect Shelter may be feeling the fiscal pressure. They have been bombarding Facebook with inflammatory adverts trying to get people to donate.

They get very uppity when you point out, in open forum, their annual budget, the executive salary total cost and the fact they provide zero accomodation. Then recommend if folks wish to 'help the homeless' there are other, more cost effective, true charities you can support.

The more who do this, the more pressure Shelter will be under.

Mick Roberts View Profile

7:06 AM, 15th August 2022, About a month ago

Reply to the comment left by Northernpleb at 14/08/2022 - 09:39Great words Northernpleb
ensuring Housing Benefit, and Less than perfect tenants have no hope of obtaining a Home.
I'm seeing this now. None of my Benefit tenants can ever move again. I can't sell mine. I'm taking a positive out of a negative and telling myself Well no voids no refurbishments no admin time tenancies etc. And still earning. And less repairs cause they daren't ask for ote and also can't ask for ote at their cheap rents they paying

Northernpleb

8:58 AM, 15th August 2022, About a month ago

Reply to the comment left by Mick Roberts at 15/08/2022 - 07:06
Hi Mick, If only we could get the message across

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