Insurance News Archive

Legislation 'will not solve private rental sector problems'

Increased legislation will not solve problems in the private rental sector, according to an expert, who believes existing regulations are usually "perfectly adequate".

Tom Entwistle, director at LandlordZONE, says that new laws are unlikely to help tenants that may be made homeless and adds that where existing regulation falls down is "in the inefficient way it is implemented by the civil justice system".

"Introducing more and more legislation is not the answer to these and many other problems in the private rental sector," he claims.

Mr Entwistle adds that the Council of Mortgage Lenders is reviewing the current arrangements for giving notice to tenants and will be trying to ensure that there are not "nasty surprises" for private occupiers.

He states that lenders can put in place a receiver of rent so that it can take the tenants' payments directly if the landlord fails to keep up with mortgage costs as an alternative to immediate possession.

The CML reported in February that 40,000 houses were repossessed in 2008.

31 Mar 2009