Tag Archives: NRLA

Shelters warns 941,000 tenants are facing eviction Landlord News, Latest Articles, Property News

The homeless charity Shelter is warning that one in 12 private renters in England is threatened with eviction.

The charity says that is the equivalent of 941,000 people.

The results of polling, funded by Nationwide Building Society, found that of the renters at risk of eviction, 504,000 had received, or been threatened with, an eviction notice in the last month.

That’s up 80% on the same period last year, and, the charity says, 482,000 tenants are behind on their rent which will put their home in danger.

The rental crisis that is unfolding

Shelter is warning that the government’s failure to unfreeze housing benefit in its Autumn Statement ‘ignores the rental crisis that is unfolding’ and will result in rising homelessness this winter.

The charity points to ‘record high rents’ and soaring living costs which means that the fear of being made homeless is a danger for millions of renters in the private rental sector.

The charity’s research also reveals:

A quarter of private renters – equivalent to 2.8 million people – are constantly struggling to pay their rent, an increase of 24% compared to the same period last year

More than two thirds (69%) of private renters – equivalent to 7.7 million people – would struggle to find a suitable home this winter if they were evicted.

Calling on the public to support its frontline services

Now Shelter is calling on the public to support its frontline services with staff working seven days a week to help as many people as they can to ‘keep hold of a safe home’.

Polly Neate, the charity’s chief executive, said: “Almost a million private renters are at risk of being of being kicked out of their home this winter, and more will follow.

“Every day our emergency helpline advisers are taking gut-wrenching calls – from the mum who’s skipping meals to pay the rent, to the family terrified they will be spending Christmas in a grotty homeless hostel.”

She added: “The government’s refusal to unfreeze housing benefit, when private rents are rising at record rates, means the rental crisis is fast becoming a homelessness emergency.

“At Shelter, we are doing all we can to help people keep the bailiffs at bay, but we’ve got our work cut out.”

Repossessions in the private rented sector

In response to Shelter’s research on repossessions in the private rented sector, Chris Norris, the policy director at the National Residential Landlords Association, said: “The vast majority of landlords want to help tenants stay in their homes wherever possible.

“However, the government needs to do more to support those most in need of help. This should include unfreezing housing benefit rates.

“It is simply absurd that support for housing costs is being linked to rents as they were three years ago, not as they are today.”

He added: “Ministers need also to address the supply crisis in the rental market.

“Recent tax hikes have served only to cut the number of homes available to rent, whilst demand continues to remain strong. All this is doing is driving rents up and making homes harder to access.”

Mr Norris continued: “We are working with the government to ensure the system that replaces Section 21 repossessions is fair and workable for responsible landlords as well as tenants.

“This needs to include ensuring landlords can effectively tackle the problem of anti-social tenants and those building substantial rent arrears.”

Government’s PRS strategy is ‘in tatters’ Landlord News, Latest Articles, Lettings & Management, NRLA, Property Investment News

Government policy has left the private rented sector (PRS) ‘in tatters’ as figures show the number of homes to rent falling, but tenant demand continues to rise.

The criticism comes from the National Residential Landlords Association (NRLA) which says that since 2015, the government has embarked on a deliberate effort to discourage investment in private rented housing.

This has included measures to restrict mortgage interest relief and imposing a 3% stamp duty levy on the purchase of homes to rent out.

However, earlier this year, the Levelling Up, Housing and Communities Secretary, Michael Gove, argued that shrinking the private rented sector would help more people become homeowners.

The number of households in the PRS

Official figures show that the number of households in the PRS has fallen by more than a quarter of a million over the past five years.

That is despite demand from prospective tenants continuing to soar, with students this year among those scrabbling to access a dwindling number of properties.

According to Zoopla, demand for private rented housing in the UK this year is up 142% compared with the five-year average, whilst the supply of such homes has fallen by 46%.

A similar trend has been reported by Rightmove who say that, in Q3 2022, tenant demand increased by 20% compared with Q3 2021.

Demand for private rented housing has gone up

Data for the National Residential Landlords Association has found that in the third quarter of 2022, 65% of landlords reported that the demand for private rented housing had gone up.

This was up almost 10 points compared with the previous year.

Local authorities have also raised concerns that the flight of housing out of the private rented sector puts extra pressure on already lengthy social housing waiting lists.

The trend of ever-increasing demand takes place despite the number of owner-occupied households in England having increased by over one million in the past five years.

‘Strategy for the private rented sector lies in tatters’

Ben Beadle, the NRLA’s chief executive, said: “The government’s strategy for the private rented sector lies in tatters.

“The fact that the supply of homes to rent is falling despite an increase in demand is a damning indictment of tax decisions which serve only to increase rents and make home ownership more difficult to achieve.

“Further tax hikes on the sector risk making an already bad situation worse.”

He added: “Ministers need to recognise that a healthy and vibrant private rental market needs to sit alongside, rather than be in competition with, efforts to support homeownership.”

NRLA proposal on anti-social behaviour accepted by the Government Buy to Let News, Landlord News, Latest Articles, Lettings & Management, NRLA, Tenant Eviction

The Government has accepted a proposal from the National Residential Landlords Association (NRLA) to tackle anti-social tenants who cause misery for neighbours and fellow tenants alike.

Felicity Buchan, the minister for the Private Rented Sector, says that the Government’s ambition is to strengthen the grounds enabling landlords to tackle anti-social behaviour when Section 21 repossessions are scrapped.

And when she was delivering her first speech as a minister to the NRLA’s annual conference, she accepted the organisation’s proposal to convene a meeting of key stakeholders representing landlords, tenants, the police, local authorities and others to develop plans to ensure swift and effective action can be taken against anti-social tenants.

Ms Buchan outlined the Government’s commitment to ensuring its plans to reform the private rented sector work for responsible landlords, as well as tenants.

Understood concerns about the student housing market

The minister made clear that the Government understood concerns about the impact its plans could have on the student housing market and pledged to look at what could be done to ensure they don’t damage this part of the PRS.

She also made clear the importance of the court system working ‘properly and efficiently’ when Section 21 is abolished.

The minister went on to say that the Government does not support rent controls, warning that such a policy would lead to ‘disinvestment in the sector, which is not good for anyone’.

‘Rental reform plans need the confidence of both responsible landlords’

Ben Beadle, the NRLA’s chief executive, said: “We welcome the minister’s comments and agree that the Government’s rental reform plans need to enjoy the confidence of both responsible landlords and tenants.

“The NRLA has made clear that more needs to be done to ensure the behaviour of anti-social tenants can be tackled effectively when Section 21 goes.

“We, therefore, welcome the minister’s acceptance of our proposal for a roundtable on the issue.”

He added: “It is vital that all key stakeholders representing landlords, tenants, the police and others can develop clear and workable plans to ensure neighbours and fellow tenants alike are not left at the mercy of nightmare tenants.”

Mayor of London calls for emergency private renting summit Buy to Let News, Landlord News, Latest Articles, London, Property News

The Mayor of London, Sadiq Khan, has called for an emergency private renting summit – but landlords aren’t invited.

He will bring together private renters, charities, advocacy groups and politicians to call on the Government to urgently tackle London’s spiralling rental crisis.

The call comes after a survey reveals that 40% of Londoners think they will struggle to meet rent payments in the next six months.

As part of the call, Mr Khan says the average advertised London rent has hit £2,343 – that’s more than double than other parts of the UK.

But the National Residential Landlords Association (NRLA) says the mayor must invite landlords if he wants to resolve the problem.

Freeze rents in London

The mayor has also repeated his previous call for the Government to freeze rents in London.

He says that London’s tenants are facing ‘multiple crises’ from escalating rents, insecure tenancies and unsafe homes.

The mayor says he is making a ‘call to action’ for Ministers to immediately implement long-promised renters reform legislation to give tenants the security and safety they ‘urgently need’ – and to take action to make ‘rents more affordable’ for Londoners.

‘London’s private renters are facing a triple whammy’

Mr Khan said: “London’s private renters are facing a triple whammy with rising rents, bills and the cost of household essentials putting a major strain on their finances.

“Ministers must take this crisis seriously and act now.”

He added: “There is no time to waste so we have come together to speak with one voice.

“Our demands to ministers are simple: implement your long-promised renters reform legislation and take action now to make rents more affordable for Londoners, using all powers at the government’s disposal.

“As we continue working to build a better, fairer London for everyone, it’s vital that we stand up for renters in our city and find common ground on the action that needs to be taken to support them through the cost-of-living crisis, pay their rent and keep their homes.”

‘No private renter is safe’

Alicia Kennedy, the director of Generation Rent, said: “When rents are rising on new tenancies, no private renter is safe.

“It is too easy for your landlord to demand a higher rent when they know they can evict you and re-let to someone else who is willing to pay it.

“People who don’t want to move are being priced out of their homes and forced to compete in this hellish market. And the cost-of-living crisis is making it even worse.”

She added: “The government can alleviate rising living costs for renters immediately with a freeze on rents on existing tenancies and suspension of Section 21 evictions so landlords can’t evict simply to re-let at a higher rent.”

‘Solve the challenges without any input from those who provide the homes’

Responding to the Mayor’s plans to hold an emergency summit on the private rented sector, Ben Beadle, the chief executive of the NRLA, said: “It is disappointing in the extreme that the Mayor of London feels he can solve the challenges faced in the capital’s rental market without any input from those who actually provide the homes.

“The stark and simple reality is that whilst the demand for private rented housing in London continues to increase, the supply of such homes is falling.

“This is a direct consequence of Government policy aimed at shrinking the size of the sector, along with rhetoric from the mayor that suggests private landlords are simply a problem to be managed.”

He added: “If the Mayor wants to address the cost pressures faced by households across London, he needs to focus on boosting the number of homes available.

“Anything else would merely be tinkering with the symptoms of the challenges in the rental market, without tackling the root cause of them.”

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