The number of homes for personal rent is decreasing throughout the capital regardless of rising demand.
This is in accordance to official information and National Residential Landlords Association (NRLA) is warning that, with out motion to sort out the provision drawback, renters will see their housing selections lowered even additional.
According to Government information, the number of homes in the non-public rented sector in London fell by 6% between 2023 and 2024. An evaluation for London councils and Trust for London has warned that properties are leaving the rental market at a a lot quicker fee in probably the most reasonably priced places in the capital.
The drop in provide comes regardless of a mean of eight folks enquiring about every residence for rent in London, in accordance to property portal Rightmove.
Demand is just set to stay sturdy, given the restricted non-public rented housing obtainable. Official information reveals that ready lists for social housing in London are at their highest for a decade.
And the capital is now the one area throughout the nation the place the number of first-time consumers has fallen over the previous ten years in accordance to Halifax.
The mismatch between provide and demand in London’s rental market is driving up rents and decreasing tenant selection, significantly for low-income renters.
London wants extra homes for social rent and homeownership. But the NRLA insists that town’s housing disaster won’t be solved with no important increase to the provision of new, top quality non-public rented lodging.
The NRLA is demanding tax reform to encourage the provision of new homes to rent. This might embrace scrapping the 5% stamp obligation levy on homes to rent the place a landlord brings one of the over 38,000 long-term empty homes in the capital again into use.
A faster justice system. When Section 21 ‘no clarification’ repossessions are abolished, accountable landlords want assurance that the courts will course of, and implement, respectable possession circumstances extra swiftly than at current.
And a monetary bundle to help funding in vitality effectivity upgrades as the Government considers new minimal vitality effectivity requirements for the non-public rental market.
Commenting NRLA chief government Ben Beadle stated: “London wants extra of all sorts of housing, and that has to embrace homes for personal rent. It’s excessive time for insurance policies that help funding in the homes renters desperately want.”
