March 3, 2011
Government Decision Is Good News For Buy To Let Landlords
The National Landlords Association (NLA) has welcomed the government’s decision to remove the additional 10 percent cut in housing benefit for anyone on Jobseeker’s allowance for more than a year as revealed in the recent Welfare Reform Bill.
NLA chairman David Salusbury believes the decision will provide some much-needed comfort for vulnerable tenants dependent on the private rented sector and landlords not in a position to cover a shortfall in rent.
However, both tenants and landlords will be watching this legislation closely to see what protection the Government can provide against the other, more significant, changes to Housing Benefit contained within the Bill.
Along with the fine detail to the Government’s flagship Universal Credit programme, uncertainty about the impact of these proposals as a whole threatens the supply of affordable accommodation across the country.
The NLA has revealed that 76 percent of housing benefit landlords across the country have confirmed that they are planning to reduce the number of LHA homes they provide during 2011 and 40 percent of these are planning to do so within the next three months.
The association is demanding that the government acknowledge the concerns of the private rented sector or risk a drop in the supply of affordable housing.
