Sadiq Khan unveils cash for London’s tenants to tackle landlords

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Sadiq Khan unveils cash for London’s tenants to tackle landlords

A £400,000 fund will help London’s renters challenge landlords and understand their rights when the Renters’ Rights Act takes effect on 1 May.

The cash will back advice services, renter groups and training for borough officers who pursue criminal landlords.

The mayor, Sadiq Khan, launched the enforcement fund with a call for rent cap powers to be devolved.

Also, new YouGov polling commissioned by the Greater London Authority has found three-quarters of Londoners would back such rent rise limits.

Ensure rules are met

Sadiq Khan said: “We are seeing the biggest expansion of renters’ rights for a generation – this is a change that I have long called for and will transform the lives of London’s 2.7 million renters.

“I’m pleased to announce a new Renters’ Rights Enforcement Fund so that renters in London know their new rights, from a ban on no-fault evictions to tribunals to challenge unreasonable rent hikes.

“It also means that crucially organisations will have more resources to make sure the new rules are upheld.”

He added: “I believe the next step is for Ministers to devolve the power to cap rents so we can tackle the capital’s problems of both affordability and supply.

“And the evidence is clear – Londoners would overwhelmingly back new plans to put a cap on rent increases in the capital.”

Funds to check on landlords

The fund fulfils a manifesto pledge to help organisations inform tenants of their new rights.

There will also be online tools and checkers to enable tenants ‘to hold their landlords and letting agents to account’.

There’s also a plan for better intelligence-sharing between boroughs on problem properties.

Mr Khan also wants to exempt new build-to-rent homes from any rent caps to encourage supply.

The mayor’s office will launch a fresh awareness campaign next month using online adverts and posters on the TfL network.

No to rent controls

Ben Twomey, the chief executive of Generation Rent, said: “The Renters’ Rights Act is a major step forward in rebalancing the power between landlords and renters, giving us more security in our homes.

“Ahead of this new law coming into action, the mayor’s funding of tenants’ organisations is most welcome to help make every renter aware of the new rights.

“With this funding, organisations can do more to support the law to reach into people’s homes and improve their lives.”

Jordan McCay, a policy officer at the British Property Federation, said: “While it is encouraging to see Build to Rent protected from calls for rent controls given its key role in expanding housing supply, this protection is recognition that rent controls pose significant risks to investment and the availability and homes, and should not be introduced at all.

“Evidence from Scotland shows how interference in rent-setting reduces investment and shrinks housing supply, worsening affordability for tenants.

“Introduction of rent controls in England risks repeating these patterns, prompting private landlords to exit the sector and deterring new investment and delivery.”

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Anti-landlord legislation is forcing Scottish landlords out

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Anti-landlord legislation is forcing Scottish landlords out

Anti-landlord rhetoric from Scottish politicians is causing landlords to leave the private rented sector.

That’s the view of the chief executive of the Scottish Association of Landlords (SAL), John Blackwood, with a warning that the Scottish government must change their attitude towards landlords with the Scottish elections coming up in May.

In an exclusive video interview with Property118, Mr Blackwood warns blunt legislation is not the answer to solve Scotland’s housing crisis.

Anti-landlord rhetoric

Many of SAL’s members are weighing up whether to leave the private rented sector, but for years many have exited the market due to one big factor.

“It’s to do with the anti-landlord rhetoric that they are hearing from our politicians,” John explains.

“There’s a range of other factors, such as rent controls, that put additional pressure on landlords and make them think again about investing in the private rented sector.

“It’s a reality now, and what we are saying to politicians is that they need to listen to landlords. Landlords are investors and you need to encourage investors. If you frighten off investment, there’s going to be fewer properties available to rent.”

Landlords need to feel valued

With the Scottish elections coming up in May, John says politicians need to change their attitude towards landlords.

He said: “Landlords need to feel valued as investors and treated as businesses. To ignore us and make it feel like we are pariahs in society is wrong, and it does nothing to instil confidence in the sector.

“Scottish politicians need to change their attitude towards the private rented sector and work with us.

“The Scottish Housing Secretary Mairi McAllan has told us she wants to work with landlords, she wants to work with the private rented sector, and we need more investment. They are great words, but we need to see actions that speak louder than words.”

John explains that while landlords may not win votes for politicians, it is still important for policymakers to understand their role in the housing system.

“Landlords don’t win votes for politicians, and that’s an important message we need to get across. They’re not suddenly going to think they need to support landlords hand over fist.

“Politicians are obviously thinking about the wider community, they are concerned about tenants, about whether tenants can afford to pay their rent and whether they have good homes to live in.

“What I’m trying to say to politicians is that we both want the same thing. We want our tenants to be happy, we want them to stay in their properties, and we want them to be able to afford to live in them.”

Landlords are working people

John explained that SAL is the largest representative group of landlords and letting agents in Scotland, an achievement the organisation is very proud of.

He says: “We represent landlords in every postcode area in Scotland, from one corner to the other. With that comes great responsibility because we are the voice of the private rented sector in Scotland.”

However, John acknowledged that the role also comes with challenges and said: “Many of our politicians are not particularly interested in the concerns of landlords, and that’s something we need to overcome in order to get our message across.”

John says it’s important to recognise that landlords should be proud of the role they play.

He said: “I’m a landlord, I’m proud to be a landlord and I like being a landlord. I’m good at it because I’ve worked hard at it.

“Landlords are working people. It’s not a passive income, you have to constantly learn new pieces of legislation and keep up with what’s happening. Tenants are also more demanding than ever before because they expect value for money.”

However, John adds that affordability cuts both ways.

He said: “Rents need to be affordable for tenants, but they also have to be affordable for landlords because we are running a business. If we can’t cover our costs, then we are going to think twice about continuing to invest.”

Is blunt legislation the best way to solve the housing crisis?

Scotland previously introduced rent controls in 2022, which ended last year. However, the Housing (Scotland) Act includes provisions for the reintroduction of rent controls.

Councils must first assess rent conditions in their areas and submit proposals for designated rent control zones to the Scottish government by 31 May 2027.

With the legislation now receiving Royal Assent and rent controls on the horizon, John expressed concerns about the legislation.

“I can’t say I welcome it, and our biggest concern is that we’re introducing legislation to fix a problem we don’t fully understand,” he said.

“We all agree that high rent prices are something that needs to be addressed, but is blunt legislation the best way to do that?

“Ironically, with rent control in Scotland, we had the highest percentage increase of rents in Scotland compared to any other part of the UK, and we had rent control until last year.”

He added that the issue may ultimately come down to supply and demand, saying: “We simply don’t have enough properties available to rent in Scotland, and that naturally puts pressure on rental prices.”

Rent controls to be proportionate

Despite his concerns about the Housing (Scotland) Act, John says there are some positives.

He said: “There won’t be a blanket approach to rent control and that’s a good thing.

“The government did listen to us throughout the debate and certainly took on board that it had to be proportionate. Any rent controls introduced will be designed locally so they can meet and respond to local need.

“There will also be exemptions to rent controls. We have been championing exemptions for below-market rents because we think it’s perverse that landlords are penalised for not increasing rents.

“We know many landlords with long-term tenants who don’t raise the rent, so why should they be penalised by potentially never being able to increase it in the future?

“We just have to wait and see what the regulation brings because that’s what will give us the detail behind the legislation. There’s still a lot to play for over the next couple of years before we see the introduction of any kind of rent controls in Scotland.”

Awaab’s law needs to be pragmatic

SAL also supports the extending of Awaab’s Law to the private rented sector in Scotland, but warns it needs to be implemented in a way that is pragmatic for both landlords and tenants.

The law was named after Awaab Ishak, a two-year-old boy who died in 2020 after prolonged exposure to mould in social housing.

John explains: “We want to make sure tenants live in good-quality, damp and mould-free homes, and any legislation that tries to achieve that we support.

“The reality is how we balance those very real issues and concerns. What we need to look at going forward is how practical it will be and how it will be rolled out.

“The big thing for us is understanding the underlying causes of dampness and mould and how we address that as landlords, as the owners of the property with responsibilities.

“We also need to educate tenants, because as many landlords will say, it’s about the tenant’s understanding of how to live in the property and how to help keep it free from damp and mould.

“It’s about working together to ensure a tragedy like this never happens again.”

Landlords confused over EPC measures

Since 2019, the Scottish government has been hinting that landlords may need to meet an Energy Performance Certificate (EPC) rating of C.

The Scottish government’s recent consultation outlines a phased approach, requiring new tenancies to comply from April 2028, and all private rented properties by 2033.

However, John says the moving goalposts and lack of certainty have left many landlords confused over energy-efficiency measures.

He said: “Landlords are telling us they want to upgrade their properties to meet energy-efficiency targets, but they need to know exactly what they have to do and by when. At the moment, those are two key questions we can’t answer.

“Our concern, alongside the lack of clarity and direction, is that there could be a mad rush before the legislation comes in, with everyone trying to upgrade their properties at the same time.

“The best time to carry out upgrades is when a property is empty. In Scotland, we don’t have fixed-term tenancies, so landlords don’t know when a tenant might leave. Tenants can give just one month’s notice at any point.

“That makes it very difficult to line up tradespeople to carry out the work, even if landlords knew exactly what was required.

“I also think there will be a skills shortage. It raises the question of how you get the right tradespeople at the right time, particularly given Scotland’s diverse geography, which creates additional challenges in rural areas.”

Landlords will always be needed

Despite the doom and gloom within Scotland’s private rented sector, John says it will always be needed.

John told us: “We are always going to be in need to provide accommodation. There will never be enough social housing, and not everybody can access home ownership, so where else do they go? The private rented sector.

“In reality, we need the private rented sector, and we will always need landlords. But the million-dollar question for landlords is: are you one of these landlords who wants to continue to remain in the private rented sector and play your part in keeping Scotland’s housing market working?”

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Councils expand schemes with private landlords to tackle homelessness

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Councils expand schemes with private landlords to tackle homelessness

Two councils are offering landlords financial backing and guaranteed rent support as part of wider efforts to reduce homelessness and limit reliance on temporary accommodation.

Mansfield District Council has confirmed it will extend its private rental access scheme, which helps people move out of temporary housing by covering the upfront costs required by landlords.

The scheme pays deposits and the first month’s rent and works alongside a rent guarantor to provide insurance-backed cover for arrears and legal costs where tenancies run into difficulty.

In its first year, 80 people were supported into private accommodation, including 49 children.

Not enough housing

Mansfield’s portfolio holder for housing, Cllr Anne Callaghan, said: “Sadly, there is just not enough council housing available to help everyone in need and increasingly the council has had to use bed and breakfast accommodation to help people on the waiting list.

“This is not only costly, it is also far from satisfactory for people waiting to be housed, sometimes for months, especially if they have children.”

She added: “However, many people waiting for somewhere to live also lack the funds to pay the deposits for private rented accommodation, along with the first month’s rent in advance, or they have no one who can act as their rent guarantor.

“This is where this scheme can be a game changer.

“By paying deposits and a rent guarantor insurance, we can get homeless people out of temporary accommodation and into suitable housing much more quickly.”

More money approved

Payments to landlords have reached £134,081 in rent in advance and deposits, alongside £12,668.48 spent on guarantor cover.

The council has now approved a £150,000 extension through to 31 March 2027, funded via the Homelessness and Prevention Grant.

All properties are checked before use to confirm they are safe and suitable.

Tenants are contacted three times in the first six months; a process the council says is designed to keep tenancies on track.

Knowsley extends tenant help scheme

Meanwhile, Knowsley Council is expanding a scheme to help tenants when their landlord sells.

Its Private Rental Rescue Scheme enables registered social landlords to buy landlord properties where a sale would otherwise trigger a ‘no-fault’ eviction for the tenant.

The council provides funding to bridge the gap between the social value and market price and can also fund works needed to bring homes up to standard before purchase.

Since its introduction in 2023, the scheme has been used to prevent tenants from losing their homes in these circumstances and has reduced the use of temporary accommodation.

Now £500,000 has been approved to continue the programme.

Knowsley’s cabinet member for regeneration, Cllr Tony Brennan, said: “We’ve seen the enormous benefits of our Private Rental Rescue Scheme which is keeping families together and preventing them from the stress and uncertainty of no-fault evictions.

“It is allowing us to use Section 106 contributions from developers to increase the supply of affordable, secure and good quality housing in the borough and helping us save significant sums which we may otherwise have needed to pay for temporary accommodation.”

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Government announce fee for tenants appealing rent increases

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Government announce fee for tenants appealing rent increases

The government has claimed it “wants to ensure justice is protected for all” after announcing a £47 fee for tenants challenging a rent increase through the first-tier property tribunal.

In a written question, Justice Minister Sarah Sackman confirmed that the government has put forward legislation to begin implementing a new fees framework in the Property Chamber.

The news comes after a tenant group slammed the government over the fees tenants must pay to access rent tribunals.

£47 for applications to appeal a rent increase

In a written question, Labour MP Kerry McCarthy asked: “What the Ministry of Justice has made of the potential impact of extending courts and tribunal fees to challenging Section 13 rent increases through the First-Tier Tribunal on the number of rent increase challenges.”

In response, Ms Sackman confirmed under proposed legislation tenants would pay £47 with no hearing fee for applications to appeal a rent increase.

She said: “The Ministry of Justice keeps all fees under continuous review to ensure that His Majesty’s Courts and Tribunals Service (HMCTS) has the resources necessary to operate fairly and efficiently, while ensuring access to justice is protected for all.

“The government has laid legislation to begin the process of implementing a new fees framework in the Property Chamber. The purpose of the new framework is to deliver a fair and sustainable Property Chamber that is accessible to all. The framework includes a fee of £47 for applications to appeal a rent increase, with no hearing fee, this is one of the lowest fees across HMCTS.

“The Help with Fees scheme will always be available to provide financial support to those who cannot afford to pay fees. In 2024/25, we remitted £91 million of fees income to protect access to justice. The changes are subject to Parliamentary consent.”

Landlords in limbo

As previously reported by Property118, under the Renters’ Rights Act, any rent increase upheld by the tribunal would take effect only from the date of its decision, rather than when the landlord first served notice. This means that even unsuccessful challenges could delay higher rent payments for months, leaving landlords in limbo.

Geoffrey Vos, Master of the Rolls and head of civil justice in England and Wales, warned the Housing Law Practitioners’ Association that the rules under the Renters’ Rights Act could create “an incentive for tenants to apply to the First Tier Tribunal in respect of every increase in order to delay its implementation”.

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