HomeLatest NewsTenant Fees Bill is the last thing the Sector needs says RLA
Tenant Fees Bill is the last thing the Sector needs says RLA
Posted on 02/02/2018 by Sulgrave Estates
RLA Policy Director David Smith informed the Select Committee that the tenant fees ban won’t work during a feisty evidence session with MPs. A group of MPs leading an investigation into the private rented sector (PRS) got more than they bargained for when they invited Mr Smith to give evidence.
David Smith’s main points, which were echoed by other people giving evidence, were:-
Fees charged by agents are charged at different levels and employed in varying ways all around the UK, so a blanket ban will be a blunt tool.
It’s not true to say fees have been banned in Scotland – they’re now just post-loaded into tenancies, rather than being charged upfront, suggesting this will happen in the UK.
There are tenancy costs and fees that will always have to be paid and they will pop up somewhere else if you ban them.
Passing new laws like the Tenants’ Fees Bill will be pointless until government sorts out the patchy, messy nature of the existing rented housing sector’s 150 laws, some of which are 300 years old.
Ministers already have the power to police the sector without the need for more legislation.
Licensing scheme needs to be governed nationally, not just locally – blanket licensing is just a “paperwork cottage industry” that duplicates bureaucracy.
Ombudsman schemes don’t work effectively in the property sector because they can only fine landlords and agents, not fix poorly maintained or privately rented homes.
The Select Committee will now consider all the evidence before reporting on its findings. The Tenants’ Fees Bill is now not due to become law until next year.