Report into private rented sector welcomed by government
An independent review into the private rented sector (PRS) released this week has been welcomed by Housing minister, Margaret Beckett.
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The Rugg report, headed by Julie Rugg of the University of York, stated that the PRS should not be considered the "third" best choice for accommodation, and recommended a new drive to improve the quality of the sector and encourage its expansion.
Housing minister Margaret Beckett declared herself impressed with the report, and said the Government agreed with the need to improve the sector for both landlords and tenants.
"The private rented sector plays a really important role in the housing market.
“Many of us have rented a house at some stage of our lives and it's crucial that we have a high quality sector that works well for both landlords and tenants, and encourages mobility."
The report suggested introducing a light-touch licensing system for landlords and mandatory regulation for letting agencies, to increase protection for both vulnerable tenants and good landlords.
Other suggested improvements included:
- Introducing a new independent complaints and redress procedure for consumers, to help end long drawn out disputes.
- Tax changes to encourage good landlords to grow, including changes to stamp duty to encourage them to buy more properties.
- Looking at ways for the PRS to be more accommodating towards households on lower incomes, including considering more support for landlords prepared to house more vulnerable people.
- Local authorities taking steps to better understand the sector and support good landlords whilst tackling poorly performing landlords and promoting tenants’ rights.
Julie Rugg said: “We hope the review has signalled the Government’s intention to seek a better working relationship with the sector. We now have a much stronger evidence base, and the opportunity to frame more informed policy. It will be interesting to see what happens next.”