A think tank has called for rent controls, saying that rises should be limited to the Consumer Prices Index of inflation.
The Resolution Foundation said that half the millennial generation could still be renting in their forties, while a third of those born between 1981 and 2000 could still be renting in retirement.
Its report also calls for the private rented sector to be more family-friendly, and that landlords should not be allowed to end tenancies at short notice without good cause.
Foundation analyst Lindsay Judge said: “While there have been some steps recently to support house building and first-time buyers, up to a third of millennials still face the prospect of renting from cradle to grave.”
Housing lawyer David Smith, policy director at the Residential Landlords Association, said: “Today’s report shows the perfect storm that young people face.
“With home ownership remaining difficult for many to access, demand for homes to rent continues to increase. This is at a time when government tax increases are discouraging many landlords from investing in new homes to rent out.
“Ministers need to make pragmatic changes to their approach to private rented housing, with a series of policies that support, rather than attack, the majority of private landlords who are individuals to invest in the new homes to rent we need alongside all other tenures.
“This includes greater support and encouragement for those prepared to offer longer tenancies but who are concerned about being locked into agreements where tenants might be failing to pay their rent, not looking after their property or committing anti-social behaviour.”
Comments (5)
But hang on – isn’t renting from cradle to grave exactly what the left and the government want? One only has to flick through the glossy brochures of the build-to-rent brigade to find the L&Gs of this world pushing for exactly that – rent from an L&G student block, then an L&G flat, then an L&G family home until retirement when you’ll seek out an L&G care home. It’s all there in their intentions to house custo… er! ‘people’ … for life! Just what the IF and others are supporting!
Policy by tabloid journalism and Tweets by Savid Javid
The Government are acting like children. testing and pushing the limits to see how far they can go before they wreck the supply of rented property. Rent control? well back to the 70’s but this time there will not be the social housing the councils have asset stripped.
So let’s get this right, demand for rental homes increases because there is less stock.
I get that, the Government now treats landlords as enemies of the state and are making B2L so unattractive that many are selling off their B2L properties or at best are discouraged from buying any more.
What I don’t get is how people think that longer tenancies, presumably with the rent set for the duration of the tenancy, and rent caps when they can finally look at the rent is going to help that?
Do any of these people know that landlord B2L demand is flatlining?
What’s actually happening (‘flatlining’ is grossly overstating it) is that Buy to Let landlords, in light of recent tax changes, are not adding to their portfolios. Which is a good thing, obviously. Every property that a Buy to Letter doesn’t hoard is one that an owner-occupier can call home. Which ergo means less tenant demand. Check out the CCHPR report for Shelter on this.