The newly named Ministry of Housing, Communities & Local Government (MHCLG) lead by Sajid Javid, confirm the ban is more than a year away.

The newly formed Ministry of Housing, Communities & Local Government (MHCLG) have confirmed they no not expect the lettings fee ban to be implemented until Spring 2019.

MHCLG has announced that it will be at least 15 months before letting agents and landlords can no longer charge fees to tenants within written evidence made this week to both the Select Committee hearings that scrutinised the draft legislation as well as the National Approved Letting Scheme (NALS)

The draft legislation was introduced by Sajid Javid back in November 2017 and was given a thorough ridicule by experts throughout the hearing on Monday. It will now go to a third reading in the House of Commons before moving to the Lords.

MPs were told at the hearing by experts from Shelter and the University of York’s Centre for Housing Policy that a letting fees ban could easily lead to higher rents as banned fees were added by landlords to the rent over the length of each tenancy, and also reduce the quality of rented accommodation as landlords tightened their purse strings.

“We’re pleased to see more clarity on the timetable for implementation of the ban – it’s much needed for our industry and something NALS has long called for,” says Isobel Thomson, CEO of NALS

“While the Bill aims to create a fairer and safer PRS for all, NALS doesn’t believe this will deliver what the government aspires to and risks doing real damage to the PRS.

“NALS urges [the] government to use this time to fully assess the impact of the Bill. It is crucial that government look again at the proposals and consider tenant fees in a broader, coherent framework of regulation for the PRS.

 

 

Reference: The Negotiator