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TODAY'S OTHER NEWS

Section 21: New call for government to rethink proposed ban

There’s been another call on the government to rethink its plans to change the Section 21 eviction process. 

The founder of Landlord Action, Paul Shamplina, has written to housing minister Heather Wheeler, inviting her to gain a greater understanding of the possession process before making drastic reforms.  

This comes after a survey of 263 landlords carried out by Landlord Action has revealed that 38 per cent of landlords will consider selling up if the government goes ahead with plans to abolish Section 21.  

A further 33 per cent said they would only continue being a landlord with significant changes to the possession powers granted by Section 8.

The government has expressed a desire to encourage longer-term tenancies, which Landlord Action agrees makes sense for those that want them, such as families. 

However, with the current average tenancy lifespan already four years and one month, and with approximately 90 per cent of tenants ending tenancies themselves, Landlord Action claims there is growing concern that abolishing Section 21 is not the right approach to achieve this.

According to its survey, 70 per cent of landlords would be less willing to consider a longer-term tenancy if Section 21 was no longer available to them, and 85 per cent said they would be more selective with their choice of tenant.  

Shamplina says: “Encouraging longer tenancies will only be possible with major investment in housing courts to help speed up evictions, which currently take 22.8 weeks from gaining possession to issuing a claim for eviction², and clarification regarding new grounds within Section 8 to protect landlords.

“It is clear from our survey that with so many other obstacles already faced by landlords, such as the introduction of more regulation, the reduction in the tax relief that landlords can claim on mortgage interest and a three per cent Stamp Duty surcharge on buy to let properties, there is a real possibility of the buy to let market significantly shrinking over the next five years meaning higher rents for tenants.”

Shamplina has invited Wheeler to attend an eviction with him to support the government’s work in formulating policy and new law which presents equal opportunity for everyone operating in the private rental sector.

Poll: Is it too late to change the government's mind on S21?

PLACE YOUR VOTE BELOW

  • icon

    the intent to abolish S21 is clearly political rather than logical. Much like many other government decisions over the centuries

  •  G romit

    The Government has press the accelerator pedal to drive small private Landlords out of the Private Rented market. Those that remain will only take the highest quality Tenants with impeccable references, and crucially not anyone dependent upon benefits. Local Councils are going to see an avalanche of people seeking housing, and having to be housed in expensive temporary accommodation.
    Council taxpayers be warned your tax will be going up sharply, and services are going to be cut.

  • Paul Barrett

    The only LL that will be driven out of business are mortgaged sole trader LL.
    They are only 25% of the PRS.
    Govt seems not to mind about this.
    25% are mortgaged corporates who aren't affected by S24.
    If 25% of the PRS goes how many tenants would be homeless?
    I reckon not that many.
    They could be absorbed by the existing PRS which would expand a little to cope with the loss of mortgaged sole trader LL.
    The bigger loss very soon will be because of the new CGT regulations on PPR properties which will cause Accidental LL to sell off their former homes.
    They currently house about 1 million tenants.
    But even with the ongoing reductions in rental housing availability there still seems to be enough to cope with tenant demand.
    The LA round me all seem to have available properties.
    The day I see blank spaces in their windows is the day I will believe there is a rental stock shortage.

  • icon

    Nice work Pau Shamplina.
    That's the attitude - a very helpful and pragmatic approach. Let's see if she takes you up on it. This is such a devastating policy that we must keep fighting against it with whatever we've got. A legal challenge to the Government might also be the way to go if their cloth ears prevent them from listening to reason. This is an assault on private property rights.

  • icon

    They are not listerning,, they are clueless as to what is zbout to happen tomorrow and when a GE is called. Domesday is upon them.
    They and others to missed the CC of 2007/2008, They didnt listern and act upon the biggest vote this country took 3 years ago.
    Only way is for Nigel and Boris to join up and sort, Homes,Police,Education,Hospitals,Immigration, Antisocial.
    But they wont listern.

  • Paul Barrett

    Yep I reckon that losing 25% of a market is a bit of a gamble.
    Govt is gamling with the domestic circumstances of millions of tenants.
    I'm sure most of them don't give a stuff about overprivileged GR being able to buy a house near mummy and daddy in the SE!!
    They just want their LL to carry on housing them!!
    The Govt is certainly only considering the GR few and not the tenant many.
    If MPs read all your excellent reports they would realise the complete insanity of S24 etc.
    Unfortunately politics trumps logic.
    Govt doesn't seem to be concerned about a declining PRS.
    With Brexit it could be that less immigration reduces tenant demand.
    So fewer rental properties might be a manageable situation.
    But irrespective of everything it is still crazy that Govt persists with the bonkers S24 policy.
    Your thoroughly researched reports you would have thought would be a convincing argument against S24.
    Sadly your correct logic is being sacrificed on the pyre of political ideology and a misguided one at that!
    Taxing turnover is simply reprehensible.
    I reckon a case could be made under the HRA that taxing turnover is against all normal human rights.
    Why the UK Govt ignores the Irish experience beats me.
    All you can do is carry on producing your logical arguments against S24.
    Eventually sanity must prevail and what you so correctly state must surely be listened to and for S24 to be abolished.
    S24 probably the most bonkers tax policy ever invented since maybe the window tax!!!







  • icon

    I predict riots against the government will happen in the end.
    The only reason Labour is doing well is because the Tories have gone much to far on cuts to services lied and twisted facts and attacked small businesses.
    They have attacked small BTL with the aid to milk them dry so they make no profit.
    They then are trying to force them to house DSS when the rates paid just about covers a room. Councils and social housing don't want to house them. Now they will remove the property owners means to evict.
    So they have created the problems then decided to blame BTL and force the predicted outcome of the homelessness problem on them.
    The government is responsible for much of the hatre aimed at BTL.
    No business will be safe under a Labour or Torie government.

    Paul Barrett

    I could easily see a Marxist Labour Govt compulsorily billeting HB tenants in available rental properties.
    God knows how a mortgage would be paid!?
    Must surely bankrupt the LL.

     
    icon

    I agree Kathy, its more Tories are doing Badly, which is showing Labour in a better light ( and Wow, do the Tories have to screw up to manage that ! - but they have managed it )

     
  • icon

    Dont panic folks whilst doomsday is fast aporoahing the tories and labour (hamas supporters) either Boris will totally change their way of thinking or we will have Nigel the kingmaker doing a Game of Thrones on all of them. I still say No UC, No Daily Curry eaters , if you miss a rent payment your out se 21 sec 8 dont care, no excuse for no payment of rent and my tenant just made themselves homeless, my property i bought with my hard earned already taxed money. Start listerning to us professional LLs

  • icon

    Absolutely Steve, totally agree, well said. Landlords need to say it as it is.
    I think only a Brexit Party win can save Landlords.
    ( They couldn't do a worse job than Tory or Labour if they tried. ! )

    S l
    • S l
    • 22 May 2019 21:53 PM

    If you read the other party who back brexit, they are also against the landlord. So far, only found one member on tory party trying to set up a group to support the prs. other parties who are trying to get elected on the eu parliament are all about brexit or non brexit but they are also against prs and supporting all the extra regulations to squeeze us dry

     
  • icon

    I carried out a quick check of all the section 21s our agency has served over the last 6 years. We have served 27 in total out of thousands of tenancies. Of the 27 , only 2 were requested by the landlord as relations had broken down between him and the tenant. The remainder were mainly due to rent arrears although a handful were so the landlord could sell, something that has become more common recently as S24 begins to bite. We do have a couple of additional examples where the council has advised a tenant to ask us for a S21 so they could move into council provided housing. I initially thought it would be a good idea to speak with my fellow local agents and compile a comprehensive list as I believe this would be damning proof, if ever it was needed, that S21s are by and large not served where there is 'no fault'. However I can see quite clearly that this truly is a politically motivated move and it would be a complete waste of time, the Government aren't listening (still). It would not make an iota of difference. Roll on the EU elections, it's (hopefully) going to be a bloodbath :)

    icon

    You are so right Debbie, there is ZERO mention by Tenant support groups of TENANTS " Requesting " a Sec 21, all to manipulate the broken (shire's ) system of Housing.

     
  • Paul Barrett

    A question
    How can a council ask you to issue a S21?
    If a tenant conplies with a S21 they are deemed to have made themselves

    INTENTIONALLY HOMELESS.
    They have to wait until evicted under the S21 process to be deemed as NOT intentionally homeless.
    Did the tenants pay for all the eviction court costs.
    If a Council asked me I would say refuse and evict under S8 which would mean the tenant make themselves intentionally homeless.
    Then no Council house

  • icon

    Paul, I know it doesn't make sense - but nothing much in the Housing system does, You have Tenants asking Local Authorities to come out and inspect their PRS property.
    One Housing Enforcement Officer told me ' to try to get a small bit of mold on a skirting board classified as a Hazard. ' ( sometimes, even damage that it appeared the Tenant had carried out ! )
    The skewed Housing allocation system gives a higher rating to those applicants that currently reside in a property subject to a HHSRS Notice.
    You don't hear this from Shelter or Gen Rent. !

  • Paul Barrett

    The new regulations are a brilliant way to enable feckless HB tenants to game the system to obtain social housing.

    LL with properties that are prone to issues if a tenant doesn't behave in a tenant like manner aren't really worth keeping.
    Better to get rid of such properties.

  • icon

    I found that HMO staff and Housing Staff and general Council staff are clueless useless and over paid twits.
    We give our tenznts fact sheets about Mould Damp and condensation also Legionnaires disease fact sheets. Some tenant still dont know how to open a window, always love catching them out on our 2 or 3 monthly inspection. Ask the council twits how often they inspect their properties.

  • S l
    • S l
    • 22 May 2019 14:12 PM

    yes steve, yet when mould occurred onto internal walls, tenant would go to council claim inhabitable house and wanted rent waived due to their own actions in creating the mould in the house and the council would sent letter to landlords to fix the problem or be sued. Landlord have to tend to the mould issues before the end of the tenancy and cant claim from tenants for workdone

  • icon

    SI,, no dont ,, go to council with your Inventory and any inspection teports and tell them you will counter claim against the council suporting any of your tenants teminding them that you have been a professio al LL for how ever long and then demand to escalate the whole natter up their chain of command also informing that you will he up lifting all your Facts on to all social media including local oapets pinting out what a lot if twots they are.
    At same time ask them to come to the propetty immediatly.

    S l
    • S l
    • 22 May 2019 21:48 PM

    I did. We always do check in inventory and check out inventory. But the eho at the council dont care. They just sent notice to deal with it. If we dont, they will sue us. They say they are there for the tenant. Not going to get involve with the contract.

     
    S l
    • S l
    • 22 May 2019 22:01 PM

    and after that, they serve improvement notice to change windows to upvc with a lock to open slightly for ventilation purposes. Still the tenant managed to caused the outer wall to get mouldy on the wallpaper which when peel off , the whole wall was full of mould. All because she air her clothes weekly in her room and not ventilate or heat up the room. TDS go in her favour and we lost and had to fix the mouldy wall and other damages at our costs despite the check in inventory.

     
  • Paul Barrett

    Unfortunately LL have to accept the current reality.
    If their properties are not lived in correctly and are prone to damp and mould etc it really isn't worthwhile retaining such properties.
    Such properties will just be used by feckless HB tenants as a passport to social housing.
    It is really pointless retaining such properties as business propositions if the tenant types attracted to rent them are going to use them to game the system at great cost to the LL in attempts to attain social housing.
    Pointless letting to tenants wbo can't or aren't prepared to use the heating to keep at temperature of at least 16
    Degrees in colder periods and are not prepared to ventilate

  • S l
    • S l
    • 22 May 2019 22:02 PM

    with the old aluminium single glass pane windows, we got no mould issues. Due to the eho at the council with their improvement notice to change windows to upvc. we now got mould issues!!!

  • icon

    Play the stupid council at their own stupid rules reg, daily ask them why they reduce CT by 25% for single tenanct in property you have been refurbishing for past month or 2. Keep asking, keep annoying them, ask them why dustbins are not emptied, keep asking them, ask them why public toilets are locked, keep asking them.
    Ask them why they take over a week to respond, keep asking them.
    Ask them to send housing officer to your empty property when you have tenant and when you are empty again, keep asking them.
    Ask them how often they Inspect their tenanted properties and ask to see one of their blank inspection sheets, keep asking them. Show them your properties with inventories, stuff Data protection as that is to protect them only, Tell them you are a professional LL, and keep telling them. Tell them you contribute to their wages and keep telling them.
    Ask to speak to senior manager and keep asking.
    We have to keep telling them we are good at what we do, we respond to tenant issues immediatly, we provide fact sheets on how to look after a oroperty and ask our tenants to sign them to confirm they have read them. Tell them again we are Professional LLs.

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