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News release

Shared housing under the knife

27 January 2010

The National Landlords Association (NLA), the leading representative body for private-residential landlords in the UK, has roundly condemned today’s Government announcement which will reduce the supply of shared housing.

In a statement, Housing and Planning Minister John Healey MP revealed plans which will require planning permission for new shared housing where three or more unrelated people live together. 20 per cent of private-rented sector properties are shared*, a figure which is rising year-on-year.

HMOs play a vital role in providing much needed housing for students, young professionals and those on low incomes who rely on this type of affordable accommodation. Large cities across the UK greatly depend on shared housing as a first step. By making it more difficult and costly for landlords to provide this type of accommodation, these measures will reduce choice for tenants and increase pressure on local authority housing lists.

The Rugg Review, an independent review of the private-rented sector commissioned by the Government, already dismissed these changes to the planning system as an ‘extreme response’ which ‘local authorities are ill-equipped to handle.’ The Government clearly has no idea of the impact of this measure on the housing market.

Of equal concern, today’s statement also outlines proposals to give councils general consent to introduce licensing schemes without seeking permission from central Government in so-called ‘hotspot areas’. The current rules require local authorities to justify to the Secretary of State the need for any new licensing scheme. These proposals will result in a ‘nimby’s charter’ which will create ‘no-go’ areas for landlords, students, young professionals, low income families, migrant workers and a wide range of other groups who rely upon shared private-rented sector housing.

David Salusbury, Chairman, NLA, in criticising these measures, said:

“The Government has bowed to a small minority who shouted the loudest. It has ignored the vital role these homes play in contributing to vibrant and mixed communities. These plans will do nothing to improve housing or increase choice for tenants but are more about placating local protest groups in certain parts of the country.

“If the Government was really interested in dealing with anti-social behaviour and property standards in the small minority of places where they are an issue, they would have taken up the NLA’s calls for more targeted local management action by councils working with landlords in their areas.

“What we have before us is draconian and is quite simply using a sledgehammer to crack a nut. In addition, we can expect local authority planning departments to be swamped under increasing workloads owing to these new measures. This entire package will not contribute to the vibrant rental market the Government says it wants.”

The Government announcement can be downloaded at: www.communities.gov.uk/news/corporate/1447619

-ENDS-

* Office of National Statistics Labour Force Survey 2006.

All media enquiries to:
Steven Hilton
Media Relations Manager, NLA
Email:
Tel: 020 7840 8906
Mob: 07508 031 084

Notes to Editors:
Representing landlords from all over the UK, the National Landlords Association (NLA) is the leading organisation for private-residential landlords. It campaigns for the legitimate interests of landlords by seeking to influence decision-makers at all levels of government and by making landlords’ collective voice heard in the media. The NLA helps landlords make a success of their lettings business by providing a wide range of information, advice and services. It seeks to raise standards in the private-rented sector while aiming to ensure that landlords are aware of their statutory rights and responsibilities.