Telephone iconCall UsTelephone icon0333 0146 683
Our opening hours
Chevron left icon
Knowledge centre

MPs call for power to confiscate landlords’ property

2-minute read

Anna Delves

11 May 2018

Facebook iconTwitter iconLinkedIn icon

So called ‘rogue landlords’ should have their properties confiscated, according to MPs.

A report into the private rented sector was published by the Housing, Communities and Local Government Committee and stated that current financial penalties are a ‘meaningless’ deterrent.

Local councils should have power to take properties

MPs on the committee said the government should “give local authorities the power to confiscate properties from those committing the most egregious offences and whose business model relies on the exploitation of vulnerable tenants.”

Despite evidence of this exploitation, the report found that six out of 10 councils didn’t prosecute a single landlord in 2016. Councils told the MPs that the reason for this is that “some of the fines levied are pitiful.” They are often only £100 or £200, but it can cost local authorities thousands to take landlords to court.

Evictions and rent increases also in the crosshairs

The committee also said tenants should have more protection from evictions, rent increases and harassment, adding that 800,000 private rented homes suffer from excess cold, mould or dodgy wiring.

This particular recommendation may set off alarm bells for some landlords, as many have been forced to raise rent in the light of recent legislative changes – such as the ban on tenant fees and the introduction of the Minimum Energy Efficiency Standards.

What will the report mean in practice?

At the moment, the report is only a list of recommendations and no bill has been drafted. A spokesman for the Ministry for Housing, Communities and Local Government said: “Everyone deserves a safe and decent home and we have given councils stronger powers to crack down on bad landlords, including fines of up to £30,000 and banning orders.”

The Residential Landlords Association said it agrees with much of the report, but it added that additional regulation would be unwelcome. “The RLA has long been concerned with the increasing complexity of laws and regulations related to private rented housing, which cause uncertainty for all those in the sector.”

“Tenants and good landlords are being let down by local authorities unable to properly enforce the powers they already have,” said Alan Ward, chair of the Residential Landlords Association.

“The problem is that over-stretched councils simply do not have the resources to properly use such powers to protect tenants from the minority of landlords who are criminals and have no place in the sector.”

Get set with tailored landlord cover

Over 200,000 UK landlord policies, a 9/10 customer rating and claims handled by an award-winning team. Looking to switch or start a new policy? Run a quick landlord insurance quote today.

Start your quote

We create this content for general information purposes and it should not be taken as advice. Always take professional advice. Read our full disclaimer

Find this article useful? Spread the word.

Facebook icon
Share
Twitter icon
Tweet
LinkedIn icon
Post

People also liked

12 March 20202-minute read

What the UK Budget 2020 means for landlords

Chancellor Rishi Sunak announced the first UK Budget since October 2018 amid continuing political and economic uncertainty. Here’s the key…

Read more

Keep up to date with Simply Business. Subscribe to our monthly newsletter and follow us on social media.

Subscribe to our newsletter

Categories

Popular articlesBusiness resources from FarillioGeneral businessGuestInsuranceLandlordLandlord resources from FarillioLegal and financeMarketingNewsOpinionProperty maintenanceTradesmanCovid-19 business support hub

Address

6th Floor99 Gresham StreetLondonEC2V 7NG

Sol House29 St Katherine's StreetNorthamptonNN1 2QZ

© Copyright 2020 Simply Business. All Rights Reserved. Simply Business is a trading name of Xbridge Limited which is authorised and regulated by the Financial Conduct Authority (Financial Services Registration No: 313348). Xbridge Limited (No: 3967717) has its registered office at 6th Floor, 99 Gresham Street, London, EC2V 7NG.