28^th Oct 2018

Many landlords believe that the raft of changes in legislation as well as stamp duty and the mortgage interest tax relief reduction is the government's attempt to get more people onto the housing ladder, and to force BTL investors to sell up which they see as a calculated assault to win over more tenant voters.

Will Tanner, the head of think tank Onward, predicts that the Tories could lose the next election because of the ever increasing generation rent. To try and reverse the slide he says that the government must improve conditions for tenants and turn around the decline of home ownership levels.

Some experts have labeled the plans to introduce a mandatory three year tenancy model as simply a ‘political move’.

A spokesperson for a trade body, said: “This [proposal for longer tenancies] is a policy which the Conservatives derided when it was put forward by their opponents in the past two general election campaigns.

“It’s hard not to see this as more of a political move aimed at the renter vote than a genuine effort to improve how the rented market works for all those involved.”

An insurances company's latest study shows that future elections will almost certainly be influenced much more strongly by how the UK's renters react to political parties' stance on the private rented sector.

The research claims that 53% of tenants voted in 2017 (a sizeable increase on previous elections) and this could rise to 69% if a panic election was to go ahead in the near future.

The study found that 72% of private renters are considerably worried by their financial state; the most common anxiety is being unable to save for a deposit for a house.

As from August, the average renter is supposedly able to save £102 per week but 25% said they were unable to do so. The think tank surmises that the introduction of rent control will help tenants to save more or live better, and this could be a vote winner in the future.

However many renters are unaware of the measures that have been introduced by the government to improve standards in the private rented sector, such as energy efficiency and better rights.

Gareth Howell, executive managing director of the insurance organisation, said: “We’ve recently seen a flurry of legislation aimed at the private rental market. Landlords are responding to it, as our research over the past four years shows rapid improvements in energy efficiency and some rising of safety standards.

“Our research over the past two years shows a very low awareness among tenants of this legislation and their new rights.

“Few are interested in punishing landlords, but do need mechanisms for building their own assets. Tenants are set to be an increasingly powerful voice in our society, making finding innovative financial solutions a political imperative in future years.”


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