Let’s have a larger rented sector
The U.K. is short of homes. We have often agreed here that much lower numbers of migrants would help reduce the shortage. The danger now is the new government may continue with the old government’s high migration policy and perhaps add to it with new safe routes and an amnesty for illegals. This makes expanding the private rented sector even more important. Public sector budgets are not going to stretch to building many more Council houses.
The government plans to increase the protections for tenants, extending the past governments plans. Whilst this may be good news for those who have a long term tenancy, it is bad news for those needing to find a house to rent or needing to renegotiate an expiring arrangement.
There is likely to be a further reduction in homes to rent as landlords sell up or find less regulated uses for their property than letting it out to someone for their home. This will increase rents again and leave people in need of a home scurrying round when a tenancy does become available. Government needs to get to a balanced regulatory system ,protecting tenants against bad landlords but leaving landlords with sufficient rights over their property to make it a worthwhile investment.
A better private rented policy needs to be allied to helping the building industry train enough skilled staff and invest in sufficient building materials capacity to expand new homes output.There needs to be an increase in new homes to rent as well as to buy.
Source: http://johnredwoodsdiary.com/2024/08/03/lets-have-a-larger-rented-sector/
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