Rented Housing: Reform – Parliamentary Written Answer

Mr Barry Sheerman: To ask the Secretary of State for Levelling Up, Housing and Communities, what plans he has to deliver reforms for renters through the proposed renters reform bill.

Eddie Hughes: The Government remains committed to building back fairer and delivering a better deal for renters. We will publish a White Paper in 2022 which sets out a package of reforms to create a fairer private rented sector that works for both tenants and landlords. This will include further detail on repealing Section 21 of the Housing Act 1988, and on targeted enforcement measures that drive out criminal landlords. We will explore the merits of a landlord register as part of this work.

http://www.parliament.uk/business/publications/written-questions-answers-statements/written-question/Commons/2021-10-28/65377

Poor Housing Harms Health Of 20% Of Renters In England

Poor housing is harming the health of one in five renters in England, with mould, damp and cold the main triggers of sickness, a major survey by the housing charity Shelter has revealed. Approximately 1.9m households could be suffering physical and mental problems as a result of poor housing conditions as well as uncertainty caused by struggles to pay the rent and repeated evictions, polling of over 3,000 private renters suggests. A quarter of all renters said they were affected by damp and mould and by being unable to heat their homes. They were three times more likely to say housing was harming their health than those without the problems. Read more on the Guardian website.

https://www.theguardian.com/society/2021/oct/13/poor-housing-harms-health-of-20-of-renters-in-england-says-shelter

Renters Snap Up Properties 30% Faster Amid Flight For Green Space

UK renters are driving a more decisive market, as houses for rent are snapped up on average 30% faster than one year ago. That’s according to new stats from real estate website Zoopla’s quarterly rental market report. The COVID-19 pandemic has driven a once in a lifetime reassessment of housing needs, with houses average across the UK let nearly a week (6 days) faster than the same time a year ago. The time frame has shortened across all cities. Meanwhile, the time to let out a flat remains largely unchanged, with these letting out just 2% faster. Read more on the Yahoo Finance website.

https://uk.finance.yahoo.com/news/zoopla-quarterly-housing-rental-market-report-000134248.html 

Half Of Renters Worried About Housing Situation

Half (50%) of renters have expressed anxiety about their housing situation, worrying about things like rent increases, landlords selling up, and becoming unemployed. The research, from Aldermore bank, found that two in five (41%) renters are worried about financial security. The pressure is felt significantly among 18- to 34-year-olds, with two in three (64%) admitting they are worried about their housing situation. Additionally, a further 20% of this age group have seen rent costs increase in their area since March. Read more on the Property Wire website.

https://www.propertywire.com/news/half-of-renters-worried-about-housing-situation/

Renters Heading Back To The Capital

Figures suggest a marked increase in young professionals heading back into the capital for permanent residence over the past week. Despite many predictions suggesting that professionals are heading out of London and offices may no longer be a requirement for many companies in the capital, data shows the opposite - a steady increase in the past two weeks of renters heading back post-lockdown-easing – suggesting a positive outlook for London’s rental market should it continue. Comparing the weeks of 25th to 31st May, and 1st to 7th June, there has been a 101% increase in young professionals renting permanent co-living accommodation in London. Read more on the Property Reporter website.

https://www.propertyreporter.co.uk/landlords/renters-heading-back-to-the-capital-as-lockdown-measures-begin-to-ease.html

Coronavirus: Renters ‘More At Risk From Economic Downturn’

Renters are likely to be hit harder than homeowners from an economic downturn during the coronavirus crisis, a think tank has warned. The Resolution Foundation said homeowners were “relatively well protected” compared to previous slumps. But renters were more likely to work in affected industries and spend more of their income on housing, it added. The government said it was taking "unprecedented action" to protect people during the virus outbreak. Read more on the BBC website.

https://www.bbc.co.uk/news/uk-politics-52221211

Renters Still Paying Up To 18% More Than Buyers

The gap between home buying and renting is at its smallest margin for 10 years, but renters are still paying up to 18% more in some parts of the UK, according to the latest research from Halifax. At a UK level, homeowners are saving 3% on average (£227 annually) with the gap reducing from 17% year-on-year since 2015, when buyers were saving an average of £,1476 per year. This has reversed from 2009 when it was buying that was more expensive, and renters saved on average £209 per year or £17 per month. Read more on the Property Reporter website.

https://www.propertyreporter.co.uk/finance/renters-still-paying-up-to-18-more-than-buyers.html

Renters Quizzed In Relation To Landlords’ Tax Affairs

A HMRC ‘fact finding letter’ suggests tenants may have to take tax off their own rental payments to ensure the correct tax is paid if their landlord is not resident in the UK – and is not registered under the UK’s Non-resident Landlord Scheme (NRL) – or face a fine. The HMRC letters come with a form which asks the tenants for information about the property, such as whether it is owned by a trust and, if so, the date it was acquired by a trust, and details about the trustees, settlors and beneficiaries. Read more on 24housing.

https://www.24housing.co.uk/news/renters-quizzed-in-relation-to-their-landlords-tax-affairs/

Young People And Renters ‘Shut Out’ Of The Planning System

Planning needs “new forms of decision making”, with the present system often dominated by those less supportive of new homes in their local area, a new report reveals. People Powered Planning, published by Demos and funded by Nationwide Building Society, finds that a minority of homeowners (42%) support new homes, compared to a majority of renters (60%). However, the majority of homeowners (56%) have engaged with the planning system, compared to a minority of renters (29%). Download the report from the Demos website.

https://demos.co.uk/wp-content/uploads/2019/09/People-Powered-Planning.pdf

Deposit Cap Means Renters Could Be Owed Refund

Renters in England could be in line for one-off payments of £117.90 on average if they renew their tenancy, Generation Rent analysis reveals. But as tenants who move must find a new deposit before getting their existing one back, the campaign is calling on the government to free up more of tenants’ cash before they move to make the process less stressful. With the government call for evidence on tenancy deposits closing this Thursday (5th Sept), Generation Rent is calling on ministers to enable renters to access some of their deposit to put down on a new home once the final month’s rent is paid. Read more on 24housing.

https://www.24housing.co.uk/news/deposit-cap-means-renters-could-be-owed-refund/

Renters May Get Access To Rogue Landlord Database

A database of rogue landlords would be opened up to prospective tenants under government plans. The Rogue Landlords Database was launched in 2018 and only has ten names on it so far. It includes those who have been banned for failing to make a property habitable, or have been convicted of serious offences. At the moment the list is only open to local authorities but under a package of rent reforms it will be opened up. The proposals apply to England as housing policy has been devolved. Read more on the BBC website.

https://www.bbc.co.uk/news/business-49062504

Over £1bn Of Tenancy Deposits “At Risk”

New research has revealed that a possible 1,500,000 renters could be at risk of losing their deposits believing their bond has never been placed in a deposit protection scheme. The survey, carried out by price comparison website, Comparethemarket.com, has suggested that renters in 33% of the UK’s 4.5m rented homes think that their landlord has not placed their money into a compulsory deposit protection scheme (DPS). This equates to in the region of £1,200,000,000 of deposits which could be unprotected. Read more on the propertyreporter website.

http://www.propertyreporter.co.uk/landlords/over-1bn-of-tenancy-deposits-at-risk.html

Number Of Middle-Aged Renters Doubles In A Decade

Forty-somethings are now almost twice as likely to be renting their home from a private landlord than 10 years ago. Rising UK house prices have left many middle-age workers unable to afford a first home, or as "accidental renters" after a relationship break-up. Analysts say a focus on young first-time buyers means older tenants, often with children, risk being ignored. Concerns have been raised about the economic and social impact of these tenants in years to come. Read more on the BBC website.

http://www.bbc.co.uk/news/business-43504015

More Action Needed To Protect Renters Against Unfair Evictions

Many renters in the private rented sector put up with unacceptable conditions in their homes because they are too afraid of being evicted to speak out. That’s according to the HCLG Select Committee. In a recent report, the Committee called on the government to address a ‘clear power imbalance’ in parts of the sector. A standout recommendation is a call on the government to strengthen the Deregulation Act. It focuses on protecting tenants from a no-fault section 21 eviction for longer than the current six months, which kicks in only after the local council has served an improvement notice on the landlord. The committee also calls for protections to be extended to prevent retaliatory rent increases, and ensure that these protections kick in as soon as renters make a complain to their landlord, letting agent or local council. Read more on the Shelter blog.

http://blog.shelter.org.uk/2018/05/more-action-needed-to-protect-renters-against-unfair-evictions/

First Time Buyers £ 27,000 Better Off Than Renters

First-time buyers are saving an average of £27,000 buying a property over those renting – almost as much as the average deposit (£31,751), new research from Halifax has revealed. The latest Halifax Buying vs Renting Review found that the average cost including mortgage payments of buying a three-bed home in the UK was £679 a month in December 2017, compared to the average monthly rent of £754 for the same property type. The gap between the cost of buying and renting is now at its highest in four years, up 44% from last year’s £623 saving to £900 a year. Read more on the Halifax website.

https://static.halifax.co.uk/assets/pdf/media-centre/press-releases/2018-02-17-halifax-first-time-buyers-27000-better-off-than-renters.pdf

Over Half Of Buyers, Sellers And Renters Have Issues With ‘Rogue’ Agents

New research from Propertymark today reveals that a worrying number of buyers, sellers and renters assume all estate agents, letting agents and landlords are regulated. Propertymark sampled those who have bought, sold or rented a property in the last five years about their experiences with letting agents, estate agents and landlords – to find more than half (54%) have faced issues. However, the research found that 37% of buyers and sellers, and 42% of renters didn’t consider whether their agent was part of a professional body before progressing with their transaction. Read more on 24housing.

http://www.24housing.co.uk/news/over-half-of-buyers-sellers-and-renters-have-issues-with-rogue-agents/

Quarter Of Private-Renting Families Slipping Into 'Bad Debt'

One in four families renting homes in England is falling into hundreds of pounds of “bad debt” due to the cost of moving house, new findings show. Having to pay letting fees, removal van hires, cleaning costs and other requirements that come with moving properties has seen thousands of families taking out debt in the form of credit cards, overdraft, bank loans or payday loans, according to a report by housing charity Shelter. A total of 255,944 private renting families took on such debt the last time they moved, with the cost of moving home amounting to an average of £1,619 across England – and reaching £1,707 in London. Read more on the Independent website.

Tenants Don’t Have Much Faith In Private Rented Sector

People renting a home in the UK feel that not enough is being done to help them onto the housing ladder with those in London forced to rent because of the high price of property, new research suggests. Some 67% of UK adults, 34.4 million people, feel the Government is out of touch with the wants and needs of tenants and 49% in London can find a better home to rent than they could afford to buy. Overall nationwide some 39% choose to rent so they can live in a nicer property than they could have any chance of buying, according to a survey by virtual letting agency LetBritain. Read more on the Property Wire website.

May To Offer More Security For Renters

A major shift in Tory housing policy in favour of people who rent will be announced by ministers this week as Theresa May’s government admits that home ownership is now out of reach for millions of families. In a departure from her predecessor David Cameron, who focused on advancing Margaret Thatcher’s ambition for a “home-owning democracy”, a white paper will aim to deliver more affordable and secure rental deals, and threaten tougher action against rogue landlords, for the millions of families unable to buy because of sky-high property prices. Ministers will say they want to change planning and other rules to ensure developers provide a proportion of new homes for “affordable rent” instead of just insisting that they provide a quota of “affordable homes for sale”. Read more on the Observer website.

Affordable Rent Measures Promised In Housing White Paper

The government is promising a new emphasis on people who rent their homes when it unveils its housing strategy for England. Housing Minister Gavin Barwell said there would be minimum tenancies and more homes built for rent in a "change of tone" from previous Tory policy. He said the government had not given up making home ownership available to all. Labour leader Jeremy Corbyn said the rental market was "incapable of giving people the security they need". Read more on the BBC website.