During the ongoing party conferences this week, a resounding message is being delivered to our nation's politicians: pause, reflect, and engage with property professionals before formulating policies that impact the private rental sector.
Neil Cobbold, the esteemed Managing Director of PropTech service PayProp UK, underscores the pressing nature of the housing issue currently occupying a prominent position on the political agenda. The private rented sector, in particular, stands as a focal point for necessary reform.
A primary concern permeating the entire market is the dire shortage of housing supply. The construction of new homes has fallen significantly short of demand, exacerbating the ongoing cost of living crisis. Coupled with interest rate hikes, this scenario has precipitated a decline in property prices, prompting developers to reevaluate the feasibility of constructing new dwellings.
Cobbold emphasises that politicians across the spectrum acknowledge the challenges facing the housing sector. However, he underscores the imperative for them to heed the counsel of property professionals—the venerated experts—prior to crafting their manifestos.
As Cobbold, who is actively participating in both the Conservative and Labour conferences this week, elucidates: "In the past year, we witnessed the introduction of legislation in the form of the Renters' Reform Bill. While this marked a significant step forward, it regrettably lacks the comprehensive detail required to adequately inform and prepare our industry for the future. What is even more disconcerting is the lack of progress; introduced in May, the bill is yet to receive its second reading, four months on."
Just last week, following the conclusion of parliamentary proceedings for the conference season, the government took the unexpected decision to abandon plans for the implementation of stricter minimum energy efficiency standards for privately rented homes by 2028. Cobbold expresses his concerns, stating, "This abrupt change penalises those forward-thinking investors who diligently strive to align with forthcoming regulations. Such decisions only serve to foster industry procrastination, as stakeholders hesitate in anticipation of further governmental alterations."
Cobbold underscores the paramount importance of legislators leveraging the wealth of experience offered by industry professionals. He implores policymakers to provide comprehensive clarity and assurance on housing reform. The stability of the market and the viability of future investments in the private rented sector depend on thoughtful, enduring reforms. Cobbold cautions against subjecting the laws governing this sector to rapid, unpredictable changes, which can significantly deter landlords and property professionals from committing to its future development.
In conclusion, as our politicians convene to shape the nation's future, the clarion call is unmistakable: engage with property experts, chart a steady course for reform, and secure the future of the private rental sector.
Article from : https://www.landlordtoday.co.uk/breaking-news/2023/9/politicians-warned--speak-to-experts-before-making-rental-sector-policies