The Renters (Reform) Bill is ‘like a half-baked cake’

The Renters (Reform) Bill is ‘like a half-baked cake’

0:06 AM, 27th October 2023, About 6 months ago 10

Text Size

The Government’s plans for the private rented sector (PRS) have been criticised by a leading industry figure as confusing and chaotic.

Daniel Evans, the chair of the Association of Independent Inventory Clerks (AIIC), said the Renters (Reform) Bill, which aims to overhaul the PRS, was ‘like a half-baked cake’.

The Bill will scrap Section 21 ‘no-fault’ evictions but not until the court system is improved to handle possession cases faster.

Landlords will also have to allow tenants to keep pets in properties and landlords will not be able to discriminate against families with children and benefit recipients.

‘The court system needs to be upgraded’

Mr Evans said: “While it is encouraging that the Government has recognised that the court system needs to be upgraded and the current waiting time for hearings massively reduced, there is no indication of how long this will take or exactly how it will be achieved.

“But there is still the firm intention that, in the end, Section 21 will be scrapped.”

He added: “We’ve been told that there are some measures that may or may not be added at a later stage.

“As the Bill stands currently it’s like a half-baked cake.”

Supply and demand of rented properties

Mr Evans also says the uncertainty over the government’s plans had affected the supply and demand of rented properties.

He said many landlords have sold up and left the sector because of the fear of losing Section 21, while potential first-time buyers were staying in rented accommodation longer because of higher interest rates and tougher mortgage rules.

He added: “As a result, rents are continuing to rise and those landlords that are left are wondering which way to turn.

“These are investors, businesspeople and they are desperate for clarity.”

Introduce tougher Minimum Energy Efficiency Standards

He also pointed out that the Government had ditched plans to introduce tougher Minimum Energy Efficiency Standards (MEES) for rented homes, which were due to come into force in 2025.

However, Mr Evans also points out that many landlords had already invested in upgrading their properties to meet the standards, while others had sold up because they could not afford them.

He said: “Michael Gove, the Housing Secretary, described the PRS as having a ‘vital’ role to play in housing the nation.

“This kind of policy confusion creates chaos and helps no one.”


Share This Article


Comments

Reluctant Landlord

8:45 AM, 27th October 2023, About 6 months ago

cake assumes its something edible. If find the RRB totally unpalatable.

Old Mrs Landlord

10:06 AM, 27th October 2023, About 6 months ago

Reply to the comment left by Reluctant Landlord at 27/10/2023 - 08:45
But as far as I am concerned the palatability has been at least temporarily improved by the removal of two of the orignal recipe's most unappetizing ingredients!

Stella

10:06 AM, 27th October 2023, About 6 months ago

Reply to the comment left by Reluctant Landlord at 27/10/2023 - 08:45
half-baked cake made with rotten eggs!

Ian Narbeth

10:09 AM, 27th October 2023, About 6 months ago

I agree that the RRB is a bad bill. But the paragraph:

"Landlords will also have to allow tenants to keep pets in properties and landlords will not be able to discriminate against families with children and benefit recipients." is wrong.

Landlords can refuse pets if is reasonable to do so and, in leasehold property, if the superior landlord refuses. In HMOs there is likely to be a complete ban except perhaps for fish as other occupants, present and future, may have allergies or be frightened of dogs or birds.

We cannot have a blanket ban on people on benefits. We have to assess each case on its merits. However, landlords can discriminate in the sense of distinguishing between those who have the wherewithal to pay rent and look after the property and those who don't.

It does not help to frighten landlords into thinking things are worse than they are.

Reluctant Landlord

11:33 AM, 27th October 2023, About 6 months ago

Reply to the comment left by Old Mrs Landlord at 27/10/2023 - 10:06
....but it still gives lingering heartburn in its current form. Needs to be stripped back further.... they need to start with determining IF there is a need for a cake in the first place...

Chris

12:05 PM, 27th October 2023, About 6 months ago

It definitely is half baked with a "soggy bottom" so no structure that will stand up and deliver upon the intent. Sadly this is being rushed through to look good and hit a deadline, rather than sort out the pickle that has become the PRS.

Rod

13:52 PM, 27th October 2023, About 6 months ago

No doubt the Chancellor will be acting like a street dealer when he delivers his autumn statement on 22 November.

Someone needs to make it clear to the Chancellor that we do not need a "fix" for the housing market - we are still trying to deal with the various other measures which have failed to do much other than push prices, rents and developer profits up.

We need a consistent long term plan to solve the housing crisis. The RRB is qualitative, seeking to improve standards through regulation. The more market based solution would be to support an increase in supply across all tenures without "incentives" such as SDLT holidays, Help to Buy loans(equity profit share) and Help to Buy ISAs (with claw back).

Never mind incentives - how about removing the various tax disincentives landlords enjoy as a reward for providing 20% of homes ?

Luke P

16:52 PM, 27th October 2023, About 6 months ago

Reply to the comment left by Old Mrs Landlord at 27/10/2023 - 10:06
They weren't removed, were they? I think they were still bought from the shop, still taken out of the bag and placed on the side next to the other ingredients, we have just been 'pledged' that they won't go into the mixing bowl...yet. But the fact that they're sat there means there's potential at any moment. If they're not part of the recipe, then there was no need to buy those particular ingredients in the first place!

Steve Hards

15:41 PM, 28th October 2023, About 6 months ago

Half-baked policy is what you get when ministers let their civil servants listen to left-wing activists so it's no surprise that the Renters Reform Bill is half-baked.

Easy rider

20:43 PM, 28th October 2023, About 6 months ago

I don’t think the ingredients are right. Far too many ‘no fault’ grounds available under Section 8.

What they need is a better cake.

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