The Government has announced the “biggest change to the private rental sector for a generation” with consultations on new legislation to abolish Section 21 evictions.
Under the proposed new legislation, landlords in the private rental sector will no longer be able to evict tenants from their homes at short notice and without a valid reason.
While, says James Brokenshire MP, this will give private tenants the reassurance that they will not be suddenly turfed out of their home, the Residential Landlords Association (RLA) says the announcement has raised concerns for landlords.
David Smith, Policy Director for the Residential Landlords Association warns: “With the demand for private rented homes continuing to increase, we need the majority of good landlords to have (the) confidence to invest in new homes. This means ensuring they can swiftly repossess properties for legitimate reasons such as rent arrears, tenant anti-social behaviour or wanting to sell them. This needs to happen before any moves are made to end Section 21.”
He adds: “At a time when the demand for rental homes is outstripping supply, especially among vulnerable tenants, the Government risks exacerbating the problem if it does not ensure that landlords have complete confidence that they can repossess properties swiftly for legitimate reasons”.
The RLA will be consulting with the landlord community to establish what measures would be needed to ensure they have confidence in the system before efforts are made to end Section 21 repossessions.