Landlords to reduce housing benefit lets
Wednesday, 15 June 2011 1:22 PM
Landlords are to drastically reduce the number of properties let to tenants on housing benefit, according to a survey.
A study by the National Landlords Association found that more than half of private residential landlords planned to reduce the number of properties let to those on benefits.
The survey found that 90 per cent of landlords planning to reduce the properties in this way would do so in the next 18 months.
A third of landlords said they would reduce the number of Local Housing Allowance properties in their portfolio immediately and more than 80 per cent of landlords expressed concern about the likely reduction of LHA rates from the average market rent to the bottom 30 per cent as outlined by the Government.
The same number of landlords were also worried about future LHA increases being linked to the Consumer Price Index (CPI) rather than true market rents.
David Salusbury, NLA chairman, said: “[The findings] indicate that cuts to LHA benefits are forcing landlords out of this part of the rental market.
“The NLA believes there is a risk that the Government’s policies will result in fewer affordable rental properties available to vulnerable families across the UK, especially as the number of people claiming benefits continues to rise.”
Want to be the first to know when we break a story? Follow @AboutProperty on Twitter and subscribe to our free weekly newsletter.
Landlords are to drastically reduce the number of properties let to tenants on housing benefit, according to a survey.
A study by the National Landlords Association found that more than half of private residential landlords planned to reduce the number of properties let to those on benefits.
The survey found that 90 per cent of landlords planning to reduce the properties in this way would do so in the next 18 months.
A third of landlords said they would reduce the number of Local Housing Allowance properties in their portfolio immediately and more than 80 per cent of landlords expressed concern about the likely reduction of LHA rates from the average market rent to the bottom 30 per cent as outlined by the Government.
The same number of landlords were also worried about future LHA increases being linked to the Consumer Price Index (CPI) rather than true market rents.
David Salusbury, NLA chairman, said: “[The findings] indicate that cuts to LHA benefits are forcing landlords out of this part of the rental market.
“The NLA believes there is a risk that the Government’s policies will result in fewer affordable rental properties available to vulnerable families across the UK, especially as the number of people claiming benefits continues to rise.”
Want to be the first to know when we break a story? Follow @AboutProperty on Twitter and subscribe to our free weekly newsletter.
