Landlords Play An Increasingly Important Role In British Housing Market
The RLA recently claimed that the Private Rental Sector is to play an increasingly important role in meeting housing needs over the course of the next decade. Apparently 20% of British residents could be privately renting their homes by 2020.
It is also anticipated that more people will be reliant upon the private rental sector than the social rental sector by 2013.
According to the RLA more and more people have been choosing to rent properties rather than buy them since the onset of the recession.
One spokesperson for the National Approved Letting Scheme said, ‘it is difficult to get onto the [housing] ladder. It is very arduous for young people starting off’.
‘Without the private rental sector, without buy-to-let investments, and without private sector leasing schemes [from] local authorities, there would be a very, very serious housing problem’, he went on.
Recent research by Kensington revealed that 13% of British residents now live in privately rented homes. A significant 66% of these tenants claim that they will be unable to generate the finances required to buy their own place before 2015.
The government will have to consider it a major duty to encourage private rental investment. They should definitely not overburden landlords with unnecessary regulation.
Alan Ward, Chairman of the RLA, was keen to reflect upon the key position of private rental accommodation within the UK residential market.
‘According to an English Housing Survey private tenants are in general more satisfied with their homes than those in social housing and the private rented sector is essential to provide short term accommodation for young people who have to move to further their careers’, he said.
The government has shown a reluctance to inject cash into the housing sector recently. Mr Ward believes that it is private investment that is desperately needed to meet the needs of the 270,000 new households which are expected to come into being by 2016.
‘Rather than being seen as a last resort private tenancies are becoming the choice of many people who need the freedom to choose homes where they need and for as long as they need. And it is worth remembering, too, that private landlords also provide homes for those rejected by social housing for anti-social behaviour’, he continued.
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