Residential Landlords Association (RLA)
Lifetime deposit plan welcomed
Conservative plans to introduce lifetime deposits – an idea first mooted by the RLA – has been welcomed.
The Conservatives made the announcement on ‘Lifetime Rental Deposits’ in an overnight press briefing.
Prime Minister Boris Johnson told journalists:
“The costs of deposits make it harder to move. We are going to fix that.
“We will end no-fault evictions, so that landlords can’t remove tenants without good reason, and introduce lifetime rental deposits so renters don’t have to save up for a new deposit while their money is tied up in an old one.”
Better for landlords and tenants
Under the current system many tenants have to raise a deposit ‘twice’, when moving. One deposit is tied up in the property they are leaving, while the second is needed to secure the property they wish to move into.
The RLA believes it would be easier for all involved if a tenant’s deposit could follow them from property to property, with the tenant making up any shortfall caused by deductions.
The was idea first mooted by the association in 2017.
Cheaper and easier
David Smith, RLA Policy Director welcomed the announcement. He said:
“We have long argued that deposits should be transferable.
“It will make renting cheaper and easier for tenants. It is vital though, that the detail of the plans ensure that both landlords and tenants can have complete confidence in how the lifetime deposit will work.”
The pledge came the same day the Tories confirmed they will press in with plans to abolish Section 21 repossessions, plans announcer earlier this year, but absent from the Queen’s Speech.
Dr Smith said:
“On the pledge by the Conservatives to end so called ‘no fault’ repossessions, we agree that the system needs to be reformed, but this needs to be done properly.
“Whilst any new system should protect tenants from the minority of landlords who abuse the current rights, it is important that good landlords can be confident that in circumstances such as tenant rent arrears or anti-social behaviour they can swiftly and easily regain possession of their property.
“We want to see comprehensive reform that works for both landlords and tenants. This should include setting up a dedicated housing court offering easy and inexpensive access to justice for both tenants and landlords.”
The RLA has published its own six-point election manifesto highlighting the changes it believes are needed to create a PRS that works for all. You can read it here.
To find out more about recent statements from the three major parties on the issue of housing and PRS ahead of the publication of their manifestos click here.
Latest News from
Residential Landlords Association (RLA)
Landlords welcome plan to end homelessness02/12/2021 11:15:00
Landlords in Wales have welcomed the Government’s announcement of a new £30 million funding pot as part of a plan to end homelessness.
Demand for rental housing at record high29/11/2021 11:15:00
Demand for private rental housing is at an all time high according to new research being published by the National Residential Landlords Association.
NRLA partners with Viewber25/11/2021 15:33:00
The National Residential Landlords Association (NRLA) has announced the start of a new commercial partnership with Viewber, a provider of cutting-edge services to landlord, investors and letting agents.
Use of 'no explanation' repossessions plummeting says official data22/11/2021 13:38:00
The number of repossession cases in the courts involving landlords using Section 21, ‘no explanation’ notices has plummeted over the past two years.
Research lays bare failure to tackle criminal landlords15/11/2021 14:15:00
Two thirds of English councils have prosecuted no landlords for offences related to standards in or the management of private rented housing over the last three years.
Private landlords forced to rely on savings to cover lost rental income08/11/2021 11:15:00
The majority of private landlords helping tenants out during the pandemic by cutting their rent absorbed the losses from their savings according to new research.
Budget benefit changes welcome but not enough say Landlords29/10/2021 14:38:00
Ben Beadle, Chief Executive of the National Residential Landlords Association, yesterday responded to the announcement in the Budget that the Universal Credit taper will be cut from 63 to 55 per cent from 1st December 2021.
NRLA launches new commercial partnership with leading electricals retailer AO26/10/2021 11:05:00
The National Residential Landlords Association (NRLA), yesterday announced that it has agreed a new commercial partnership with leading online electricals retailer, AO.