Legislation for stable renting on cards

Written by Posted On Thursday, 22 May 2014 03:59

The news of about any legislation that will make long-term tenancies in the city a legal default will be music to the ears of all tenants. That was the excitement when the announcement of Ed Miliband came with an assurance that that if a Labour Government takes over the power in 2015, a legislation on similar lines will be brought in.  The Labour party’s offer on longer tenancies imply putting curbs on unjustified rental hikes and offer a level playing field for the renters.

Cry for Reforms

Many housing sector experts and non-profit groups had been calling for this kind of reforms since long. Stable renting will also offer benefits to the landlords. In 2012 Jones Lang LaSalle made a detailed analysis of landlords’ business models which showed longer tenancies as enhancing landlords’ returns.

Change is Visible

When looking to find a property to rent in London it must be known that the Rental sector in London is blighted by instability and bad practices. Despite that many landlords are setting themselves apart and reaching out to renters with the promise of better, stable renting.

In the Olympic Park in East London homes are on offer for three year tenancies with flexible two month break clauses. The rents also cannot rise above CPI inflation annually. Already a number of Housing Associations are moving in private rental market. They are relishing the opportunity to provide socially responsible private renting.
The Chief Executive of Notting Hill Housing Trust Kate Davies says that many families are living in ‘unsafe and dangerous’ private rented homes, Therefore creating a viable private rented sector with the right checks and balances where rental hikes are tied to CPI and wages have to be ushered in.
The Genesis Housing Association in London has gone the extra mile by offering tenancies up to five years. Genesis also gives renters flexibility to make their house a home by giving the freedom to decorate and make small adjustments in the decor.

Demand from renters

A recent social media poll on houses for the next generation generated almost 700 responses that mainly lamented the instability in the private renting sector. The plea was to have a stable place to live and that must be affordable. “We hope that we could rent forever meaning a provision to have long-term stay so that we can feel it as the place our own”—so wrote a young wife.

The private rented sector is still unable to address the issue of stability and the aspiration of people to genuinely settle down and have viable tenure. This is happening when many young families are seeing the private rented sector as their permanent home.

Renters Rights

It is a good sign that finally politicians are waking up to this reality and mulling some positive action need to honour the rights of renters. There is consensus that any new law sans the right penalties for landlords will not bring the desired change. The announcement is a big step to soothe the feelings of England’s 9 million renters.

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Aaleyah Lily

I like writing about travel, hotels, real estate, food and the hospitality industry.


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