A Tory MP is to ask the Government why “rogue” landlords have been allowed to grow rich off the back of taxpayers’ money in the form of housing benefit.
Oliver Colvile, chairman of the All Party Parliamentary Group on the Private Rented Sector, is to raise the issue this week with housing minister Brandon Lewis.
He said: “The Government needs to explain why so much taxpayers’ money is going to rogue landlords without proper accountability.”
He said that if private landlords are taking public money through housing benefit, the property should be of decent standard.
He added: “Allowing local authorities to issue on-the-spot fines to the worst landlords would help because the revenue could be used for better enforcement.”
Comments (18)
Should have done what the MPs do and flip the properties or perhaps add the odd duck house to the moat. Those Rogue MP’s
Ms Warwick
I would respectfully request you return to the now archived thread
http://www.propertyindustryeye.com/proptech-is-it-really-about-disruption-our-man-covers-this-weeks-conference/
as we have an ongoing discussion there that requires closure.
I am surprised so many people have any trust in any council. Councils have a specially trained member of staff to go through the paperwork and ensure you have not slipped up and if you have they will drive you into the ground. This will be even worse with the new s21 rules (back door security of tenure). The councils need the private sector more than you need them. I had a client who felt housing those from the council was his civil duty as he was in a better position than his tenants until one day he was stuffed by Greenwich Council. I had to deal with the matter for him. The council officers did not tell the truth and tried convincing me my paperwork was wrong. They were told in polite terms to go away. They employed a local solicitor who I eventually has to ask if he had any qualifications as he was talking rubbish – but enough to frighten a lay person. COUNCILS are not your friends, they will shaft you given any opportunity. If you have to be involved play their stupid game and use a High Court Enforcement Officer to deal with your evictions. They can do it on the day and better pay them a fee than let the council stuff you for another 2 months unpaid rent whilst the county court bailiffs ***** around. Take your tenants to court and under a separate action for rent arrears and bankrupt them if you can – its just playing by the same rules that your local council will use. They seem to encourage gloves off combat!
Vanessa has encapsulated the plight of being a landlord. If all stopped letting to the social sector they might eventually realise what a great service most landlords provide and just stop “LANDLORD BASHING” The only rogues out there are councils like Croydon who have tarnished the whole borough with anti-social behaviour to pocket the £27m they can raise by their licensing scheme. Bankers by any other name! I also support removal of all criminal landlords encourage by the government due to the sudden influx of migration to a country where the natural increase in housing supply could not keep up – this provides the breeding grounds for the criminal landlord: like the black marketeers during the war. Demand greater than supply = beds in sheds!!!!
Very good points and very well made, Will.
Dear Government, please build more houses (lots more) and please stop relying on the private sector to house the social sector. You should never have allowed this situation to develop in the first place. And while you’re at it, sort out the local councils. Too many of them are far more interested in raising revenue than fulfilling the tasks they are put there for. (I can’t help wondering what eventually happens to all this extra revenue some of them generate…..)
MF easy answer to your last point CEO’s on six figure salaries!
Councils are advising tenants to stay put as they can only re-house them if they are made “unintentionally” homeless.
If the tenant opts to leave after a court possession order, then they will not get a council house.
I have recently had a single mum with 4 children on benefits go into severe rent arrears, and the council told her to stay put until she was evicted, otherwise she would not get a council house.
This policy is more evidence of sheer madness and a dysfunctional housing sector where both tenants and landlords suffer.
The landlord loses rent and has to fund the re-possession process. Mine cost around £1100.00 with £4K rent arrears and £3.6K to get the property back into a lettable condition.
The tenant gets a CCJ against their name, which may affect their credit rating and the ability to get a private house again.
Perhaps bankruptcy might have been an option it has more effect than a ccj.
Ah, the Government…….having sold-off Royal Mail at a fraction of the value they turn yet again on the property industry!
Does anyone have any thoughts on local authorities? We frequently get a call asking if we have any suitable property for a ‘nice family struggling to find suitable accommodation’ and to be fair many prove to be model tenants, however just as soon as a problem occurs the local council always suggest that the tenant remains in situ to await a court order being served irrespective of the fact that they may owe in excess of £2,000 in rent arrears.
May as well fit a new kitchen for them as the court application proceeds!!
Yes, experienced that more than once. But not anymore. Sorry Council/Social Services – not going to fall for your smooth talk and airy-fairy promises of support should things go wrong. Find some other schmuck.
I have been caught out like that as well,
Property i was renting (personal property) got a call from council, promised guaranteed rent, long tern tenant, down on their luck, need a chance, really nice people.
Thinking i would do the kind thing, agreed to let it to them less than i had been asking (was only £50 or so). I think the first month i got the rent on time, after that they were always playing catch up (and never quite getting there) and then one day nothing.
I called the council said i had to evict them and found out they were advising the tenants to stay in place until they were evicted, obviously during this time they were not paying rent.
Finally got possession of the property, was in an awful state. And never seen a penny from the tenants despite taking them to court.
I have and never will let my properties to housing benefit tenants again. Many of my friends have experienced similar.
Your story is a common one. YOU CAN NOT TRUST ANY COUNCIL
Thanks for the supportive comments. 🙂
When I interviewed Nigel Farage of UKIP and put these very points to him he replied “Bonkers! What a complete and absolute waste of tax payer’s money”.
http://www.propertytribes.com/pt-tv-interview-with-nigel-farage-mep-leader-t-4909.html
Now that the Conservatives have stabbed landlords in the back with regards to the new tax changes, I suspect those of them who do not sell up and exit may turn to UKIP!. :0
In fairness to Peter Hendry I have to mention that he got blocked from PIE for constantly promoting & posting url links to his blog site.
Hear! Hear! Vanessa!
And boy am I sick of the word ‘rogue’!!!
Hmmmm! If you think about it, this opens a can of worms!
So what about the £8K of housing benefit that was not paid to the landlord, but sent abroad to build a house for the tenant’s family in Poland?
What about the housing benefit that, instead of paying the landlord’s rent, is used for other non-essentials?
I know of someone who bribed his doctor to say he was unfit for work. He walks around using two sticks to look like he can’t. However, there is nothing wrong with him.
He gets so much money in benefits that he goes on several luxury holidays each year, taking family members with him.
He got his wife confirmed as his carer, and had 8 years of benefits back-dated to pay for her.
He used this money to take his entire family on a luxury cruise.
I have had tenants on benefits myself who have not paid the rent, and when asked why, said that they had used their money to fund their lifestyle.
This is just the tip of the iceberg imho.
With the advent of Universal Credit, this is only going to get worse.
Yes, there are a minority of rogue landlords getting Housing Benefit rent and not providing a decent standard of home. But there are far more rogue tenants milking the system!!
Every single person who pays tax in this country is actually a landlord, because it is our hard-earned that pays for social housing and it is being abused by tenants far more than by rogue landlords!
I wonder if the MP’s plan will run to issuing “on the spot” fines to the many tenants who abuse the housing benefits system?
It all seems very one-sided to me.
I’d have given this two ticks if I could!!!
Well said.
I would question why you have not reported the person who you know has committed fraud.
Keeping silent about it and turning a blind eye is as bad in my book as committing the fraud.
Also why single out polish taking money and sending it home, surely Brits take money to fund their lifestyle and not pay the rent. Little Daily Mail bigotry coming out there especially trying to back it up with Nigel Farage!
However i do agree that far more tenants are seen to be milking the system as oppossed to landlords.
The council have enforcement action already. There is the landlords and Tenant Act already.
There is the deregulation Act already and prevention of eviction if not up to a suitable standard.
How about landlords dont let to Housing benefit tenants – that would solve the issue. But wait what who would then house HB tenants?
Just criminalise all landlords and agents – fine us for just waking up in the morning.