The Residential Landlords’ Association says a period of economic and policy confusion lies ahead for the private rental sector as a result of the shock Brexit vote.
Not only will new legislation have to be drawn up to replace or modify that already existing and enforced through the EU, but there will also be “a period where some laws which technically apply will be enforced in a lacklustre fashion on the basis that they are shortly to be repealed” according to association policy director David Smith.
He says immigration - a key issue in the referendum campaign - has already been the subject of two parliamentary acts in the last two years. “It now seems likely that there will be a third such Bill in order to fill gaps in border controls left by leaving the EU. This may also involve further regulation on the private rental sector” cautions Smith.
He also says that potential changes in the operation of tenancy deposit protection which were being discussed by the government in a bid to simplify the process, along with consultation on changes to the definition of HMOs and an extension of HMO licensing, may be set aside.
He says other legislation regarding energy, energy efficiency and agency obligations may need to be replaced. “Also needing to be looked at will be the Consumer Protection From Unfair Trading Regulations which also rely on and EU directive” he warns.