Just as Samantha Cameron is busy remodelling in Downing Street, it appears her husband’s party and his coalition partners are also busying themselves with a clear-out of their predecessors out worn policies. Since the election in May and the appointment of Grant Shapps as Housing Minister and his ‘age of aspiration’, the PRS has seen some sweeping changes.
Brandishing new reforms by ditching some of the less thought out ones of the previous Labour Government has become a refreshing and welcome introduction for landlords and letting agents alike.
- The abolition of the HIPS saw a rise of a third more houses put on the market.
- Former Labour Housing Minister, Jonathan Healey’s proposed Landlord Register was ditched in a bid to cut the beaurocracy and red tape which was seen to impose on landlords.
- The trip-advisor landlord website which was planned was also scrapped along with the ‘tenant advice line’.
- The ‘Letting Agent Register’, dumped.
- Classification for HMO’s amended, allowing local authorities control over policy where there are excessive numbers of HMOs.
- Mandatory Tenancy Agreements scrapped.
However the changes to the Common Law Tenancy, which will become effective as of the 1st October 2010 will remain the same. This means that rental properties in the higher rental bracket of £25,000 – £100,000 will automatically become classed as assured shorthold tenancies.
We have yet to see what changes Mr. Osborne is going to make in his budget this week and how it will effect the private rental sector, especially policy concerning the CGT rise and the capping of LTV in mortgages to 75%
Sadly, it’s a pity Mr. Osborne has no power on capping the income of the England Team and converting it with a performance related bonus.