Landlord bodies call for more government help to support PRS

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Help for Landlords:

The
Residential Landlords Association (RLA) and the National Landlords
Association (NLA) soon to be combined into an 80,000 plus landlord
association are jointly calling on the government to provide more
support for the private rented sector (PRS).

Although
they recognise the value of the measures taken so far on mortgage
holidays* for struggling landlords, they want a bunch of further
measures introduced which would provide help for those landlords
without mortgages who find themselves in difficulties.

The
organisations are suggesting that “all but emergency repairs and
maintenance, where there is a threat to the safety of tenants or the
habitability of the property,” should be postponed until normal
business operations can be safely resumed.

In
addition, these landlords bodies are arguing for any new licensing
scheme payments due to local authorities to be deferred, and the
costs charged by superior landlords for blocks of flats, such as
service charges and ground rents, in relation to leasehold properties
be, suspended.

Another
suggestion is that the government speed up benefit payments,
scrapping the automatic five-week wait for the first payment of
Universal Credit, and paying the housing element of new UC claims
directly to landlords, ensuring that the housing element “properly
reflects rent levels.”

In
a joint statement, the two organisations have said:

“We
welcome the government’s constructive engagement to date and will
continue to work with them in the same spirit.

“Whilst
measures to allow buy-to-let mortgage holidays are welcome, further
action is needed.

“Everything
possible needs to be done to support the incomes of tenants affected
by the crisis. That means a suite of measures to ensure benefits can
be paid swiftly, and that they properly cover the costs of rents.

“This
needs to be matched with further measures to reduce the costs faced
especially by landlords without a mortgage.

“This
would provide them with greater flexibility to work with tenants
struggling as a consequence of the virus.

“We
recognise the concerns that many landlords and tenants will still
have and are working closely with the Government to ensure they are
addressed.

“In
the meantime we thank landlords who are supporting their tenants at
this difficult time.”

*Barclays
have said that not all buy-to-let borrowers have been
given the option of a 3-month repayment holiday
because the support is aimed primarily at
residential mortgage borrowers. A spokesperson for Barclays
said: “This is an unprecedented and ever-changing situation, we are
constantly reviewing how we best support all of our customers and are
working on an appropriate solution and will provide an update later
this week.”

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