Mar

Stop trying to win ‘cheap brownie points’ with renters, lender tells Government

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The Government must stop its ongoing and ‘irresponsible’ attempts to curry favour with tenants via its looming reform of the private rented sector, a buy-to-let lender has said.

Mortgages for Business boss Gavin Richardson (main picture) says that this continues, the country will suffer as the private rented sector — with its efficient use of property stock — dries up.

He also says Government rhetoric on abolishing Section 21 evictions is ‘wrong’ including that their use is linked to a rise in homelessness, something Shelter regularly claims, although he admits they can be used for illegal purposes such as ‘revenge evictions’.

Cheap

“The government needs to stop trying to gain cheap brownie points by taking a pop at the private rented sector and needlessly spooking landlords. It is the reason the government has lost the confidence of responsible landlords,” he says.

Richardson’s comments follow a poll of landlords by his company that reveals a third of landlords are more worried by Section 21 reforms than the stamp duty surcharge or the loss of tax relief.

The Government has said several times recently that it intends to abolish this kind of eviction route, which in the past many landlords have used to eject tenants who avoid paying the rent or who are involved in anti-social behaviour, with two months’ notice.

“Fears surrounding the scrapping of Section 21 are a driving force behind landlords not remortgaging and selling up instead” adds Richardson.

The NRLA recently said the Government must not proceed with its plans to abolish Section 21 evictions until the problem of anti-social behaviour by tenants is tackled.

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