The Joseph Rowntree Foundation (JRF) is calling for policies that deliberately target reducing the size of the PRS. Apparently, who owns the 25 million homes available now, and who they are available to, is as important as new construction.
The new JRF report and press release go on to say:”Landlords are likely considering their future in the sector due to planned reforms to the PRS to improve tenants’ rights alongside existing tax changes and obligations on landlords to meet higher energy efficiency standards.
“The report says the government should see this as an opportunity to implement policies which see homes change hands from landlords to tenants. This would help budding homeowners previously unable to access the market find affordable, secure homes and give them the chance to build wealth.”
These measures include:
- Setting a strategy for reducing the size of the PRS by rebalancing the position of first-time buyers and landlords in the mortgage market and discouraging property speculation. This could be achieved by reviewing the regulations that govern mortgage lending to prioritise lending towards those looking to buy for the first time over landlords alongside fiscal reforms to reduce speculation on property.
- Supporting any reduction in the size of the PRS with policies that expand the supply of social housing and support households into homeownership. This could include:
- Funding local councils or housing associations to buy existing homes, upgrade them, and then let them out at genuinely affordable rents.
- Supporting renters to buy the home they live in, including through a Right to Buy for private renters.
- Creating mechanisms to allow landlords to receive funding to retrofit their home to high environmental standards, in return for leasing it to a housing provider to provide to tenants at lower than market rents.
- Expanding the routes available to renters to build sustainable wealth by addressing the barriers to part-rent part-buy models such as Shared Ownership.
- Ensuring that the transition to a smaller PRS is managed equitably, with a particular regard for renters on lower incomes. This could in part be achieved by reforming support for renters on the lowest incomes, including Local Housing Allowance.
Darren Baxter, Senior Policy Advisor at JRF, says:
“The housing market is not working. In recent decades we have seen the rapid growth of the private rented sector alongside the decline in the proportion of households in social housing or owner occupation. Consequently, millions of people are stuck paying unaffordable rents, worried about being evicted by their landlord and have little opportunity to save.
“Right to Buy and the expansion of the private rented sector following the global financial crisis have already shown that rapid shifts in the distribution of homes are possible. Reforming the private rented sector by shifting the distribution of homes within it should be the gateway to further, fundamental reform of the housing market. Reforms of this type would ensure the housing market supports those looking for somewhere to call home over those seeking assets to invest in.”
Member Since August 2016 - Comments: 1191
9:53 AM, 1st August 2022, About 4 years ago
Reply to the comment left by Gromit at 01/08/2022 – 08:38When they can dishonestly change accounting principles so you can’t claim your mortgage interest as a legitimate cost then frankly they can do anything. Next they’ll be insisting that you can’t charge your tenants any fees, have to accept pets and benefits tenants, making all tenancies assured and allowing tenants to walk away and cancel their tenancy agreements after 2 months from start of tenancy. Hang on a minute……the first one they already have and the others are in the White Paper. Won’t be long and you won’t be able to claim any expenses at all. Why should a landlord get tax relief on a new boiler, new carpets and a kitchen refurb whereas owners don’t ? Labour will win the next election with a landslide then it’s goodbye to your 20% interest tax credit and welcome RTB to the PRS.
Member Since February 2016 - Comments: 1056
4:07 PM, 1st August 2022, About 4 years ago
Reply to the comment left by Dylan Morris at 01/08/2022 – 09:53What PRS? By the time all those measures are in place I doubt there will be anything but corporate-owned Build to Let and protected purpose-built student blocks left for aspiring tenants to choose from. The individual private landlord will have been “professionalised” out of exitence and all but the cream of the renters will be back in the parental home, sofa surfing or on the streets. .
Member Since September 2015 - Comments: 1013
4:29 PM, 1st August 2022, About 4 years ago
Reply to the comment left by Dylan Morris at 01/08/2022 – 09:53
You should have been a prophet!!! 🙂
But you missed the one about paying tenants moving costs, their eletricity/gas bills and the killer of paying the tenant for the privilege of occupying your hovel for you. Oops forget about wiping their a**e for them.
Member Since July 2013 - Comments: 756
6:01 PM, 1st August 2022, About 4 years ago
Reply to the comment left by Gromit at 01/08/2022 – 16:29Its closer than you think….
https://www.landlordtoday.co.uk/breaking-news/2022/7/landlords-threatened-with-fixed-penalties-and-hmo-licence-suspensions
“Landlords have been warned they risk fixed penalty notices and the loss of HMO licences if students leave rubbish in public areas when they check out.”
“Landlords have been told by the council that they “should immediately remove any accumulated waste, including discarded belongings, from the premises.”
If that does not happen, they have been warned they could receive a fixed penalty notice or be prosecuted under section 46 of the Environmental Protection Act 1990 (Domestic Waste).”
Landlords to be responsible for tenants’ waste? When oh when will tenants be required to be accountable for their own actions or comply with the terms of their agreements, rather than blaming everything on and punishing landlords?
Member Since September 2018 - Comments: 3556 - Articles: 5
9:37 AM, 2nd August 2022, About 4 years ago
Reply to the comment left by Freda Blogs at 01/08/2022 – 18:01
all a load of twaddle,. The councils have not got enough people or time to follow this up. Just send regular emails to student tenants telling them to clear up, and take photos each time you see stuff. Create a file and if it EVER went to a fine contest it. Inevitably students have a parent address so tell the Council that’s where they live. Let them chase it up.
Member Since August 2013 - Comments: 108 - Articles: 1
8:32 PM, 3rd August 2022, About 4 years ago
Surely this report is the legacy of the anti-landlord policies of Campbell Robb who moved from CEO of Shelter in 2017 to become CEO of the Joseph Rowntree Foundation until 2019. He is now CEO of ‘national social justice charity’ Nacro. At least he is now working for an organisation which does provide some housing and which, according to their website, works with private landlords. In fact they are appealing for help from them… https://www.nacro.org.uk/housing/for-landlords/