A leading insurance company says letting agents and tenants alike will suffer if the government’s proposed ban on fees levied on renters comes into effect in England.
Endsleigh is telling today’s ARLA Propertymark conference in London that agents, their partners and the government must work together to bring clarity to the proposals, which were announced in last year’s Autumn Statement.
The firm claims referencing and insurance are two areas likely to be impacted by the ban.
“The private rental sector is currently in limbo waiting for further details on the fee ban but the topic appears to have fallen off the agenda, causing confusion for both letting agents and tenants” says David Hadden, head of Endsleigh Let.
“Our lettings customers have told us how concerned they are about these changes and what it means for the private rental sector. Poor quality referencing could lead to higher eviction numbers and longer void periods. This, in turn, could affect connected insurances such as rent guarantee, with the likelihood of claims to be perceived as increasing, premiums would surely follow suit” he adds.