Published: 25/07/2024 By Alex Maile
July is nearly over, schools are out and the there is a new set of people at Number 10 Downing Street. But what does it all mean for the property market?As I think I’ve mentioned before, the effects of an election are relatively short-term and in the rental market it barely even registers. However, in the King’s speech, Labour outlined some bold new plans.
For years, the property industry has been telling the government that it needs to build new homes and for years it has been ignored. Labour has now declared that they will finally address the issue by pledging to build 1.5 million new ones. It does however entail making some controversial changes to the planning laws and will include building on what they are cleverly dubbing the Grey Belt, which, in truth, are the less pristine parts of the Green Belt.
There are though some even more controversial changes afoot in the rental market, with Labour’s wholesale embracing of the Conservative’s Rental Reform Bill. The Bill includes:
1) The Abolition no-fault evictions
2) Tenants to be given the power to challenge rent increases that are designed to force them out
3 ) Agents and landlords to be prevented from instigating bidding wars
4) Renters to be given the right to request to be able to keep a pet, but also landlords will get the power to request tenants take out pet damage insurance
5) Decent homes standard’ to be applied to the PRS
6) Awaab’s law to be extended to cover the Private Rented Sector, which will punish agents or landlords who don’t fix damp and mould problems promptly
7) The Creation of an online database of landlords and their properties
The details are yet to be finalised, but the area that’s causing the most concern is the abolition of no-fault evictions and how long it will then take the courts to process any cases where tenants are in serious arears or where there is anti-social behaviour.
We will, of course, update you on it all as the details emerge.
So, enjoy the summer and I’ll be back again in August.