All private landlords 'to be registered'

Tuesday, 05 May 2009 09:23

All private landlords in the UK may be forced to be registered under new government plans.

The Times reports all landlords - including professionals, small-time buy-to-let landlords, and accidental landlords forced to rent out properties for homes they cannot sell - will have to register with a national body before being allowed to enter the market.

The paper reports the reforms will be announced in a Green Paper in the next ten days.

It is hoped the register would remove rouge landlords from the system by ensuring they meet set targets for treating tenants.

A register already exists in Scotland where it is a criminal offence not to sign up - meaning if the landlord is caught tenants could be exempt from paying rent.

However, there are fears small landlords may be deterred from entering the market - after already facing reams of legislation - while rogue operators will continue to work, especially in urban areas covering immigrant tenants unaware of legislation.

The Association of Residential Letting Agents (ARLA) today produced plans for national licensing of letting agents - a voluntary scheme for its members.

The scheme will see a code of conduct for letting agents, an independent redress scheme for clients, and annual independent audits.

ARLA is also demanding its members ensure tenants' deposits are kept in a protection scheme - something which is legally necessary for all landlords or agents.

Ruth Lilley, ARLA head of professional development, said: "ARLA has lobbied the government for 10 years to assist us in establishing higher industry standards.

"For too long the rental sector has been seen as the black sheep of the property market with a lack of regulation of and a requirement for redress to protect the consumer when the agent's failings are to the financial detriment of that consumer."

Richard Capie, director of policy and practice at the Chartered Institute of Housing, added: "The UK housing market needs far-reaching wide-scale, holistic reform to deliver fair, affordable and flexible housing in the future.

"We believe the private rented sector is an essential part of the mix with huge potential to meet the aspirations of many people currently unable to access suitable housing. The licensing scheme represents a major step forward and will give greater confidence to tenants and housing professionals alike."

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