Concerns persist as decision on bill looms
The Renters’ Rights Bill, a proposal that has sparked intense debate within the property industry, is moving closer to a resolution, with a decision expected next week.
The bill aims to strike a balance between the rights of renters and landlords. Key proposals include the creation of a new ombudsman to resolve disputes, as well as the establishment of a Private Rented Sector Database to improve access to tenancy information.
While the buy-to-let market remains resilient, with UK Finance predicting lending to surpass last year’s £32 billion total, Ryan Etchells (pictured), chief commercial officer at specialist property lender Together, cautioned that private landlords are reassessing their positions. Together itself anticipates a 16% increase in BTL lending, projecting £2.2 billion in lending by the end of 2024.
“Promises have been made to strengthen Section 8 evictions for landlords, but the complete removal of Section 21, or ‘no-fault’ evictions, could lead to legitimate cases being overlooked,” Etchells warned. He added that landlords could face increased costs and delays if their ability to remove problematic tenants is compromised.
Etchells also raised questions about the practical impact of the proposed database, suggesting that both landlords and tenants may not fully engage with its details.
“Renter’s finances must always be carefully considered so there is no undue pressure exacted on any tenancy agreement – that is vital,” he pointed out. “However, it is only fair that this new bill also includes a strengthening of rent repayment orders as well to ensure repeat offenders repay the maximum amount.
“It’s important that the bill addresses the concerns of both parties. A failure to do so could mean another dead duck of legislation being passed.”
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