Why banning letting agent fees won’t push up rents

Supply and demand.

Oh you wanted more than that? Ok.

There is short supply and high demand for homes to rent. The balance between these forms a price that a tenant is willing to pay a landlord. So far not controversial.

However, that is not how the relationship between tenant and agent is characterised. At the time of signing a contract, the agent is the gatekeeper to a single home with any number of keen tenants. The agent is not an actor in the market for homes to rent but a creator of micro-monopolies for single homes.

Letting fees ban – how MPs voted

We’ve had a number of requests to publish the list of how MPs voted in the failed bid to outlaw letting agent fees to tenants. You can see the full list here.

This campaign isn’t dead though. We’ll be working with enlightened Peers to bring this back in the Lords. Unlike MPs, Lords don’t get their letting agent fees paid on expenses so we’re expecting more support.

Deposit schemes fail to close rip-off loophole

The three tenancy deposit protection schemes have rejected our calls to close a loophole that enables rogue landlords to abscond with their tenants’ money.

Seb and I met the three government-backed schemes – MyDeposits, the Deposit Protection Service and the Tenancy Deposit Scheme – earlier this month to propose changes to prevent tenants’ money becoming unprotected should their landlord or letting agent be expelled from a scheme.

What should be in the Renter’s Manifesto?

There is one year until the 2015 General Election and housing will be a central issue. We are deep in a housing crisis and radical action will be needed, whoever is in government once the votes are counted.

Deposits gone for a Burton

You may have seen us on Channel 4 News recently discussing their investigation into rent-to-rent landlord Daniel Burton. Just to update you, we met yesterday with the heads of all three schemes to discuss how tenants can be protected from people like Burton.

We had a very productive meeting and we will continue to discuss a range of ideas on issues around the Daniel Burton story. We’ll let you know how these discussions progress.

Alex

MPs to vote on ban letting agent fees

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On Tuesday 13th May MPs will be voting on an amendment to the Consumer Rights Bill that will ban letting agent fees to tenants.

Please sign up to our campaign here and use the form below to write to your MP asking them to back this amendment. You can edit the text of the draft letter below if you like. Just click on it to edit.

Many thanks,

Alex Hilton

Boris’ Rental Standard may not help a single tenant

Today (Wednesday 28th May) in Haringey, London Mayor Boris Johnson launches his refreshed London Rental Standard, an accreditation scheme for landlords. We’re not impressed and doubt this scheme will help one single tenant.

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Individual Advice

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