CONFIRMED: Truss names Simon Clarke as housing secretary in Cabinet reshuffle

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The UK’s Prime Minister Lizz Truss has named Simon Clarke as her Levelling Up, Housing and Communities secretary of state following her confirmation as Prime Minster.

Truss, who won 57.4% of the Conservative Party membership vote to get the job, had previously been rumoured to have picked Jacob Rees-Mogg for the role, but he has now been confirmed as the business secretary at BEIS.

Clarke, who worked under Rishi Sunak at HM Treasury as the department’s chief secretary, is one of the original ‘Red Wall’ MPs after winning the former Labour seat of Middlesborough South and East Cleveland in MP in 2017.

The 37-year-old has some housing credentials having worked at what used to be the Ministry of Housing, Communities and Local Government for seven months in 2020 – although his voting record in parliament reveals he has not been engaged directly in or spoken during debates for the most prominent housing bills and issues.

Clarke got the job for his loyalty rather than his knowledge of the private rented sector – just three days ago he publicly backed her bid saying Truss would “help struggling families and turbocharge the economy”.

His appointment makes Clarke the sixth secretary of state since housing was added to the department’s title in 2018 and follows his predecessor, Greg Clarke, having been in post for just nine weeks.

The full cabinet is now being revealed following her meeting with the Queen at Balmoral yesterday.

Industry reaction

Nathan Emerson (pictured), letting agency trade body Propertymark’s Chief Executive, says: “We congratulate Liz Truss on her successful election campaign and urge her to work with property professionals to find solutions to these major issues facing the sector. 

“Our latest market insight reports show for every rental property available there are an average of 11 applicants, while home buyers outnumber sellers by seven to one.

“This is creating affordability issues, particularly in the private rented sector.

“We believe that gap can be closed through measures that bring the many tens of thousands of long-term empty properties back and the introduction of focussed targets for new homes that are based on an identified need for each tenure across the country.”

View Full Article: CONFIRMED: Truss names Simon Clarke as housing secretary in Cabinet reshuffle

Meet Mark Smith (Barrister-At-Law) Landlord tax planning strategies – PPN Bristol

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Our Hon. Legal Counsel, Mark Smith, Head of Chambers at Cotswold Barristers, will be presenting in person an overview of several landlord tax strategies at the Progressive Property Network Bristol meeting Thursday 15th September.

The Bristol PPN Meeting venue will be the Aztec Hotel &

View Full Article: Meet Mark Smith (Barrister-At-Law) Landlord tax planning strategies – PPN Bristol

BREAKING: Scottish landlords warn of severe problems if ‘rent freeze’ goes ahead

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John Blackwood, (pictured) Chief Executive of the Scottish Association of Landlords (SAL), has warned of dire repercussions for the private rented sector is his country’s Government pushes on with its planned national rent freeze this Autumn.

“Since rumours of this announcement broke this morning,  I have been inundated by landlords saying they will be removing their vacant properties from the rental market, and I don’t blame them.”

“Who on earth is going to let a property in the knowledge that they will be unable to meet their own financial and maintenance obligations if their tenants don’t pay the rent or their outgoings increase?”

“Instead of helping tenants pay their bills, the Scottish Government has chosen to penalise people who have provided the homes politicians have failed to provide for decades.”

Failing to grasp

“Once again the Scottish Government fails to grasp the reality of Scotland’s housing crisis and has chosen the easy option of attacking landlords for political reasons which will only further reduce the supply of housing, putting more people at risk.  This is not a solution, it will only cause more hardship. 

“In just a few weeks, we will see more stories of students and others who can’t find suitable accommodation.  We warned of this last year and nothing was done but no one should be in any doubt where the blame for that new crisis will lie.  It will be at the door of Bute House.”

“Despite reassurances from Scottish Ministers that they value the role private landlords play in provided much-needed housing, we are astounded that once again they have chosen to attack landlords at a time when they should be encouraging landlords and tenants to work together to overcome financial hardship.”

View Full Article: BREAKING: Scottish landlords warn of severe problems if ‘rent freeze’ goes ahead

Scotland’s rent freeze will see landlords ‘remove their properties’

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In a bid to help tenants struggling with rising bills, Scotland’s First Minister Nicola Sturgeon has announced a rent freeze for private and public rented properties.

The rent freeze starts immediately and will be in place until the end of March next year –

View Full Article: Scotland’s rent freeze will see landlords ‘remove their properties’

LATEST: Blackburn reveals plans to curb number of HMO conversions

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Blackburn is the latest town with ambitions to come down harder on HMO landlords by bringing in an Article 4 direction.

Blackburn with Darwen Council says it already has 1,000 HMO bed spaces, which is disproportionate to local needs and often means tenants – many of whom are incredibly vulnerable with multiple and complex needs – are brought into the borough, putting a huge strain on local services. 

It has launched a consultation to extend the ban on converting HMOs after citing success with existing Article 4 directions in seven wards across the borough where HMO conversions are only agreed in exceptional circumstances.

Councillor Quesir Mahmood, executive member for growth and development, says that in the last 12 years, Blackburn has seen a massive increase in HMOs from 129 to almost 400.

“This new rule would mean we could take a much tougher stance on HMOs, which we know can be a magnet for anti-social behaviour and often are in need of improved standards,” he adds.

“The Article 4 direction is one way we can look to crackdown, but we also need government to act or give us new powers to address standards, licensing and the regulation of this sector.”

£1m grant

The council recently received almost £1m of government funding to help tenants in supported housing and support enforcement measures – and crack down on unscrupulous landlords.

The cash, from the government’s £20 million Supported Housing Improvement Programme, will allow for more frequent and thorough inspections of supported housing.

Comments on the Article 4 consultation need to be made by 23rd September. If approved, it is likely to take effect from September 2023.

Read more: The complete guide to renting an HMO property.

View Full Article: LATEST: Blackburn reveals plans to curb number of HMO conversions

BREAKING: Nichola Sturgeon to reveal national rent freeze in Scotland

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It has been reported that Scottish First Minister Nicola Sturgeon is due to announce a national rent freeze as part of her government’s attempt to tackle the cost-of-living crisis.

The controversial measure, which is due to be announced later today as part of a package of emergency policies to help Scotland’s population deal with higher bills and living costs, follows a strong campaign by Labour MSP Mercedes Villalba.

She says: “We have the most right-wing Tory government at Westminster since the Thatcher years, with the new Prime Minister Liz Truss openly stating that she supports ‘Thatcherite’ 1980s style tax cuts for the wealthiest.

“Against this backdrop, it’s welcome that the First Minister appears to be planning to introduce a rent freeze.”

Fair game

Leading Scottish letting agent David Alexander (pictured) of DJ Alexander, has not welcomed the expected announcement.

“This tells you all you need to know about the Scottish Governments’ commitment to consultation and fairness.

“No government would tell supermarkets, pubs, or clothing manufacturers to freeze the cost of their goods, but it seems that Nicola Sturgeon and her colleagues believe the private rented sector is fair game,” he says.

“One parliamentary source is quoted in the media as saying if the cost of a freeze was met by landlords the policy would cost the Government nothing.

Shrinking

“But the result of this policy will be a shrinking of the private rented sector at a time when demand is at its highest.

“This has come at a time when local councils are seeking help from the private rented sector in housing the homeless as they have no capacity within social housing.

“This move marks a new low in the Scottish governments’ relations with the private rented sector and, given that this has been done without consultation, is a sign of desperation at a time when we need considered thought and action.”

Read more about rent controls in Scotland.

View Full Article: BREAKING: Nichola Sturgeon to reveal national rent freeze in Scotland

Rubbish! Oxford latest to crack down on whole-house Airbnb rental properties

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Oxford City Council is set to become the next local authority to charge landlords of whole-house short-let properties for refuse collection.

This follows similar decisions by other councils including Scarborough, Isle of Wight, Dorset and Hampshire.

At the moment, most councils empty recycling and waste bins for whole-house short-let or holiday properties as if they were private homes.

But Oxford is proposing to treat any properties registered as businesses – which many are for the tax benefits by their landlords – as if they were ‘commercial premises’ such as a restaurant or office.

If Oxford’s council cabinet approves the proposals, the council will notify the owners of whole-house short lets registered as businesses and either agree a commercial waste contract with them or complete the removal of domestic waste containers by the end of the year.

Enforcement

And enforcement action against non-compliant short lets registered as businesses will begin in 2023.

The council says whole-house short lets rented out via Airbnb or Homeaway are beginning to reduce the number of family homes available to rent in Oxford, with AirDNA data revealing that some 869 are offered online at the moment.

“The government needs to act to ensure there’s a proper level playing field with the rest of the rental market and other highly regulated commercial businesses,” says Councillor Linda Smith, Cabinet Member for Housing.

“Until then, we will continue to use our planning enforcement powers against unauthorised change of planning use class, and we are now removing this unfair advantage of free waste collection for whole house short lets that are registered as businesses.

“They will need to organise a commercial waste agreement contract just like other businesses in the city; it’s only fair as these properties avoid paying council tax.”

The government recently launched a review into the impact of short term tourist accommodation in England and is consulting on a potential short let registration scheme until 21 September.

Read more about Oxford City Council.

View Full Article: Rubbish! Oxford latest to crack down on whole-house Airbnb rental properties

More than half of landlords view BTL properties as a ‘pension’

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Landlords that have reached the state pension retirement age of 65 are generating a net income of more than £10bn, according to new research.

The findings come from property consultancy Savills who have analysed the latest English Private Landlord Survey and found that more than half (54%) of landlords in England are using buy-to-let properties as a ‘long-term investment to contribute to their pension‘.

View Full Article: More than half of landlords view BTL properties as a ‘pension’

Renting reforms are ‘whack-a-mole policies disguised as a strategy’ NRLA tells MPs

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NRLA chief executive Ben Beadle has urged MPs to rethink the Renters Reform Bill in a passionate defence of the PRS while giving evidence to the Levelling Up, Housing and Communities (LUHC) committee.

Along with Generation Rent, Shelter and the British Property Federation, Beadle was quizzed by the cross-party group and warned that it the proposals were not got right, they would cause a continued exodus of landlords from the sector.

“This is a series of whack-a-mole policies disguised as a strategy,” he told the meeting. “Government has taxed the pants off individual landlords – it’s more attractive to rent your property on Airbnb to a stag party than it is to a long-term sustainable tenancy.”

He questioned whether proposals to ditch Section 21 evictions would be viable when the court system was still recovering from the pandemic.

Confidence

“Landlords need the confidence that if there is a fault, they can rely on a judicial process that will be fair. Courts dragging their heels and not letting landlords get possession is a problem.”

Responding to Shelter’s comments that landlords were turning renters on benefits away, Beadle said supply was the issue.

“If you’ve got 400 people queuing around the block, landlords will choose a tenant with less risk. We need to see improvements to the Universal Credit system which gives landlords confidence.

“If you’ve been bitten on the backside by Universal Credit not talking to you or not processing your claim for direct payments, you’re not going to use it.”

Decimate student lets

He warned that proposals to bring in periodic tenancies would decimate the student lets sector and also urged the government to combine legislation governing the PRS to present it in an understandable way – using the property portal to bring together landlords’ paperwork to give tenants confidence and help local authorities target rogue landlords.

But he added: “The quid pro quo is you don’t need some elements such as selective licensing.”

Watch the Select Committee hearing in full.

View Full Article: Renting reforms are ‘whack-a-mole policies disguised as a strategy’ NRLA tells MPs

City’s private landlord licensing scheme is launched

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Landlords who rent out private homes in one city are now subject to a mandatory selective licensing scheme – the first one outside of London.

And the council has also unveiled plans this week to close a loophole that sees landlords renting out properties as short lets having an unfair advantage over local hotels because they are registered as a business.

View Full Article: City’s private landlord licensing scheme is launched