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In 2020, two-year-old Awaab Ishak died after prolonged exposure to mould in his home in Rochdale.
Under new government proposals, dubbed “Awaab’s law”, social housing landlords in England could be forced to repair mouldy properties much more quickly.
Mould – sometimes referred to using the American spelling mold – is a microscopic fungus that grows in damp places.
Mould spores are found everywhere, and are released in their thousands into the atmosphere.
Signs of mould at home include fuzzy black, white or green patches on the walls, and a damp and musty smell.
People living with mould are more likely to suffer from respiratory illnesses, infections, allergies or asthma.
Inhaling or touching the spores that mould releases into the air can cause an allergic reaction, such as sneezing, a runny nose, red eyes and a skin rash.
Mould can also trigger asthma attacks and cause coughing, wheezing and breathlessness.
Each year, the NHS in England spends an estimated £1.4bn on treating illnesses associated with living in cold or damp housing, according to building research body BRE.
Those more at risk from mould include the elderly, children and babies, as well as people with existing respiratory illnesses and some skin problems.
Condensation is the leading cause of mould in homes across the UK.
It most commonly occurs in parts of the home where there are high moisture levels: bathrooms, kitchens, and around windows.
When air cools, water vapour forms into water droplets as it comes into contact with surfaces in the home that are below a temperature known as the dew point.
These surfaces can include uninsulated external walls or windows.
If left untreated, the surface can become damp and create the conditions for mould to grow.
Older and poorly insulated properties are more prone to this.
Mould can also be caused by daily tasks which create excess moisture such as showering, cooking and drying washing indoors.
Taking shorter showers and wiping down surfaces afterwards can help, as can improving ventilation, and opening kitchen windows or using an extractor fan when cooking.
It is also important to check for leaky pipes or gutters which can make the problem worse.
Private and social landlords have a responsibility to make sure homes are safe and in good repair.
In private and social rental properties, it is the landlord’s responsibility to fix a mould problem which is due to poor maintenance, according to the housing charity Shelter.
If the mould is so bad that your home becomes unfit for habitation, then you could be classed as homeless and entitled to emergency accommodation.
But landlords may not be responsible if there is evidence a tenant has not been ventilating the home correctly.
In December 2020, two-year-old Awaab Ishak died after prolonged exposure to mould in his home.
He lived in a one-bedroom flat in Rochdale with his father Faisal Abdullah and Faisal’s wife Aisha Amin.
Mr Abdullah reported mould developing in the flat to his housing association, Rochdale Boroughwide Housing (RBH), in 2017, but was told to paint over it.
In June 2020, he instructed solicitors to issue a claim over the recurring mould, but any repairs could not be done until the case was settled.
Awaab was taken to Rochdale Urgent Care Centre on 19 December that year with shortness of breath, and died a few days later after suffering respiratory and cardiac arrest.
The government has announced plans to ensure social housing providers in England address hazards such as damp and mould more quickly.
Social landlords would have to investigate issues within 14 days and begin fixing them within a further seven days. Emergency repairs would have to be made within 24 hours.
Landlords who fail to comply could be taken to court and ordered to pay compensation.
A consultation on the proposals closes on 5 March.
After this, the government says it will bring Awaab’s Law into force “as soon as practically possible”.
Article by the BBC https://www.bbc.co.uk/news/uk-63642856
If you would like to respond to the consultation; https://www.gov.uk/government/consultations/awaabs-law-consultation-on-timescales-for-repairs-in-the-social-rented-sector
For landlords the fines increased from £80 per lodger and £1,000 per occupier for a first breach to up to £5,000 per lodger and £10,000 per occupier.
Repeat breaches will be up to £10,000 per lodger and £20,000 per occupier, up from £500 and £3,000 respectively. The higher penalties will come in at the start of 2024.
Landlords have been hit with over 320 civil penalties worth a total of £215,500 since the start of 2018 when the Government’s Right to Rent rules were first introduced.
Landlords should already be checking the eligibility of anyone they let a property to and there are a number of ways to do this, which are not changing, including via a manual check of original documentation and a Home Office online checking system.
For full details on how to carry out a landlord Right to Rent check, please see the gov.uk website www.gov.uk/landlord-immigration-check and contact the SWLA office if you have any queries.
A recent court case has highlighted the importance of landlords providing tenants with documentation.
A new boiler was installed at the start of a tenancy, the Building Regulations Compliance Certificate was not given to the tenant, a Gas Safety Certificate was given to the tenant later in the tenancy when the gas safety check was due, later on in the tenancy a Section 21 was served. The Section 21 was deemed invalid as the Building Regulations Compliance Certificate was never given to the tenant.
The full court case information can be read here, article by the NRLA;
A landlord has had their Section 21 possession claim rejected – and been ordered to pay their tenants’ court costs – after failing to provide them with information about a newly installed boiler before serving notice.
The case of Van-Herpen v Green & Green rested on an argument as to whether a Building Regulations Compliance Certificate had to be issued for a newly installed boiler – and whether a Gas Safety Certificate should have been provided following subsequent visits to the property by a gas safety engineer.
Mrs Van-Herpen, the landlord, had attempted to serve notice on July 14, 2022 – 17 months ago – but the tenants disputed the validity of the Section 21 notice on the basis they hadn’t been given essential paperwork.
The background
While the claimant and defendants’ version of events differed on certain points, it was accepted the tenants moved into the property on September 5, 2018.
A qualified gas safety engineer confirmed in a written statement to the court that a new boiler was installed on September 6, 2018, and that – as a new installation – it did not need a Gas Safety Certificate, but instead only a Building Regulations Compliance Certificate.
He claimed in his statement: ‘This certificate is a Gas Safety Certificate in its own right and is issued by the Gas Safety Register’. Both parties agreed a copy was not given to the tenants, although the landlord said they would have provided one, if asked.
The same engineer also checked the boiler two months later, on November 14th, and although he said this was a ‘complete safety check’ he also said no Gas Safety Certificate was necessary, as the boiler was under a year old. Again, both parties agreed no Gas Safety Certificate was given to the tenants, but the landlord says this is because it was not required due to the boiler being under a year old.
The boiler was next checked on October 30, 2019, after an original inspection scheduled for August was delayed by the tenants – something they didn’t dispute. Following this inspection, on the same day, the tenants were given a Gas Safety Certificate by the engineer.
The issues in question
The case rested on two key questions:
• Had the claimant (landlord, Van-Herpen) complied with the Gas Safety Regulations, despite the fact they did not provide the defendants (tenants, Green & Green) with the Building Regulations Compliance Certificate (dated September 6, 2018)?
• Had the claimant complied with the Gas Safety Regulations, despite the fact they did not provide the defendants with a Gas Safety Certificate (following the inspection on November 14)?
The landlord argued there was no legal requirement to provide the Building Regulations Compliance Certificate, and that no Gas Safety Certificate was issued or requested in 14th of November 2018.
They argued that, having provided a Gas Safety Certificate to the defendants following the 2019 inspection, the Section 21 Notice was in all circumstances valid, and they were therefore entitled to possession.
The defendants argued the landlord was in breach of Gas Safety Regulations and therefore the notice was not valid.
The verdict
Following a trial at Hastings County Court on November 9, Deputy District Judge Duncan Wright ruled in favour of the tenants.
In his judgement he said he was ‘not persuaded by the claimant’s submission that such a check and consequential record is not required within 12 months of a boiler being installed’.
He also refused to accept the landlord’s suggestion that, had the defendants requested a copy of the Building Regulations Compliance Certificate, they would have been provided with it; saying the legislation clearly places the onus upon the landlord to provide the record to the defendants.
In his ruling he said the tenants: ‘should have been provided with a copy of the Gas Safety Certificates arising out of the inspections on September 6, 2018, and November 14, 2018, prior to service of the Section 21 Housing Act Notice. This did not occur.
“As a consequence, the purported Section 21 Housing Act Notice was defective, and as a consequence these proceedings must be dismissed.”
The then ordered the landlord to pay the tenants’ court costs.
Around 1.6 million private renters are set to receive a substantial boost to their housing support in April, as the Government lays legislation to increase Local Housing Allowance (LHA).
For the new rates from April 2024; https://www.gov.uk/government/statistics/local-housing-allowance-indicative-rates-for-2024-to-2025
The boost will benefit some of the poorest families on either Universal Credit or Housing Benefit who will gain around £800 a year on average.
The support worth over £7 billion over the next five years comes as the government publishes the proposed LHA rates for 2024/25, with people living in the most expensive areas set to see the biggest boost.
The increase to the LHA has been welcomed by many housing and homelessness organisations and is part of the Government’s £104 billion cost of living support package – worth an average £3,700 per household. This also includes raising benefits by 6.7%, the state pension by 8.5%, and £300 cost of living payments, with over 7 million households receiving the latest payment and another payment coming in February. Whilst more than 26 million payments totalling over £2 billion to help families with essentials have been made since October 2021 through the Household Support Fund.
This additional support comes as 27 million people are set to get a significant tax cut as the main rate of employee National Insurance will be cut from 12% to 10%. This reduces National Insurance by more than 15% in total, saving £450 this year for the average salaried worker on £35,400.
Subject to the benefits cap, eligible renters of:
Work and Pensions Secretary Mel Stride said:
Housing costs are the number one expense for families. This £1.2 billion boost to Local Housing Allowance, along with our landmark Back to Work reforms, reflects our fair approach to welfare – helping people into employment while protecting the most vulnerable with unprecedented cost of living support.
Minister for Disabled People, Health and Work Mims Davies said:
Keeping inflation down and supporting people to stay and progress in work is the best way we can bolster families’ finances and help them progress, but we know some are still struggling which is why we are providing this important extra help.
This key boost to our housing support will see average renters around £800 better off. It is just one crucial part of our £104 billion package to help the most vulnerable which also includes an increase to benefits in line with inflation and our latest series of cost of living payments.
Crisis Chief Executive, Matt Downie said:
It cannot be understated just how vital this investment in housing benefit will be in helping to both prevent and end homelessness.
In recent years, people receiving housing benefit have found it increasingly difficult to afford the soaring cost of rents. Giving housing benefit this crucial boost will make a real difference to people across Great Britain and will relieve some of the pressure facing people on the lowest incomes.
We hope this investment will be maintained for the long term, so we can continue with our collective mission to end homelessness for good.
The investment comes on top of the £30 billion the government is providing over 2023/24 on housing support.
Minister for Levelling Up Jacob Young said:
This funding boost is just one part of how we’re supporting people in the private rented sector with the cost of living.
We have already invested £30 billion in housing support, along with Discretionary Housing Payments which provide an added safety net for anyone struggling to meet their rent.
We are taking the long term decisions needed for a better private rented sector, through our Renters Reform Bill, giving tenants security and supporting good landlords.
The government is also tackling homelessness with the £654 million Homeless Prevention Grant, giving councils in England vital money and support to prevent and tackle homelessness, as well as developing the Homelessness Covenant with Crisis.
The Local Housing Allowance determines the maximum housing support for private renters. It ensures that claimants in the same area with similar situations are entitled to the same maximum support regardless of the rent they pay. The level of support is based on the area where the person lives and the size of their household.
More information on cost of living payments – Cost of Living Payments 2023 to 2024 – GOV.UK (www.gov.uk)
| BRMA
(Broad Rental Market Area) |
Shared Accommodation Rate (SAR) LHA rate (£) | 1 bed LHA rate (£) | 2 bed LHA rate (£) | 3 bed LHA rate (£) | 4 bed LHA rate (£) |
| Plymouth Currently | 73.50 | 103.56 | 134.63 | 159.95 | 195.62 |
| Plymouth Proposed | 92.05 | 126.58 | 155.34 | 184.11 | 224.38 |
*The data is indicative, confirmed rates will be released in accordance with legislation on 31 January 2024.
Article from gov.uk
https://www.gov.uk/government/news/millions-of-renters-better-off-with-boost-to-housing-support
Local councils use the HHSRS risk evaluation tool to assess health and safety hazards in people’s homes. If an HHSRS assessment identifies that a hazard (for example: fire, damp and mould, falls, excess cold) is at the most dangerous ‘category 1’ level, then the council must take enforcement action against the property’s landlord. Properties must also be free from ‘category 1’ level hazards to meet the Decent Homes Standard.
The government have been reviewing the HHSRS with the aim to bring it up to date, empowering landlords and tenants to engage with the system, and ensuring alignment with other legislative standards and systems, including the Building Safety Act, and help with the effective enforcement of housing standards.
The review has concluded, but new regulations are required to bring the conclusions of the review into force.
In the meantime, the government have published a summary report setting out outcomes of the review and next steps, which can be found at: https://www.gov.uk/government/publications/housing-health-and-safety-rating-system-hhsrs-review-outcomes-and-next-steps
Information from gov.uk
The Housing Loss Prevention Advice Service (HLPAS: Free legal advice and representation for tenants facing eviction) – launched on 01 August 2023 and many tenants have been utilising the service. SWLA have seen a big change in possession cases – often with cases taking longer and being more complex due to tenants counter claiming on the basis of disrepair in the property.
Be sure to protect yourself, your tenant and your investment!
When it comes to getting possession of your property – the condition of the property is a major factor in whether you will be awarded possession. Have evidence and be prepared for disrepair claims!
The Renters (Reform) Bill had its Second Reading in the Commons on Monday 23 October 2023 and finished Committee stage on Thursday 30 November 2023. Report stage is expected early in the New Year.
You can follow the progress of the Bill through parliament by visiting: https://bills.parliament.uk/bills/3462
Alongside the Bill’s Second Reading, the Department of Levelling Up, Housing and Communities (DLUHC) published their response to the recent DLUHC’s Select Committee Inquiry into the PRS. The Committee’s report included a range of recommendations on various aspects of their policies including court reform, notice periods and guidance for tenants. They have responded to all of the recommendations, and you can read the full report here: https://committees.parliament.uk/publications/41806/documents/207184/default/
On 14 November, the Government tabled a number of amendments to the Bill – these changes are policies first outlined in the PRS White Paper, ‘A Fairer Private Rented Sector’. Key changes to the Bill include:
Article by gov.uk (DLUHC)
This month’s 30 minute Ashley Taylors Legal Webinar looks at the increasing number of challenges to Section 21 actions caused by simple, easy to avoid errors being made at the service of notice stage.
Your speaker Martyn Taylor has been conducting Landlord and Tenant cases since July 1980 and his team specialize solely in that subject. He will talk with up to date experience and share what’s happening in the Courts and Law today.
Martyn will take you through a checklist for use, together with explanations of what to look out for and the subtle nuances that sometimes disguise fatal errors until too late.
When: Tuesday 19th December 2023 2.00pm – 2.30pm
Topic: Section 21 Notices: A Checklist to Getting it Right First Time
Register in advance for this webinar:
https://us02web.zoom.us/webinar/register/WN_Mx5V5mN7RJ2D4Z1rw_2jwg
After registering, you will receive a confirmation email containing information about joining the webinar.
PLEASE NOTE, THIS IS NOT AN SWLA WEBINAR
National Trading Standards has published guidance for letting agents and landlords to improve material information in property listings.
Material information is any information that a letting/landlords agent provides, which will help a customer make a decision.
Information includes;
For full information and guidance; Material Information in Property Listings (Lettings) v1.0.pdf (nationaltradingstandards.uk)
**CRITERIA MUST BE MET TO QUALIFY FOR FUNDING**
There is currently funding available to improve the energy efficiency of Privately Rented properties. This funding is available via the Government E.C.O. scheme, which obligates energy companies to reduce carbon emissions and tackle fuel poverty.
Landlords benefit as the energy efficiency measures will be installed free of charge and can increase the value of the property, plus will help to ensure that the property complies with the Minimum Energy Efficiency Standards (MEES) regulations.
Tenants will also benefit, due to having a warmer home and lower fuel bills, which has been shown to result in lower tenant turnover.
What energy saving measures are available on the Grant scheme?:
There is currently up to 100% funding available for the following energy saving measures:
Who can apply for a Government Grant?:
There are three criteria that have to be met for the property to qualify for funding:
Child Tax Credit, Working Tax Credit, Universal Credit, Housing Benefit, Income Support, Pension Credit, Income based Job Seekers Allowance, Income related Employment and Support Allowance, Child Benefit* (*subject to number of children in property and income thresholds)
Please note that to qualify for funding a tenant only needs to meet condition a or b or c as listed above.
How can a Landlord apply for Funding?:
Landlords can visit the website at www.energysavinggrants.org and complete the Eligibility Grant checker. Landlords can also contact Energy Saving Grants on 03302230333
If your tenant meets the criteria listed above, they will arrange for a free, no obligation retrofit survey to be carried out on the property to assess its suitability for energy saving measures to be installed. Any funding is subject to a retrofit survey of the property. They do not charge for this service.
Any work carried out in your property will be installed by a Trustmark accredited installation company and all work is guaranteed for up to 25 years. Funding is in high demand and is strictly allocated on a First Come, First Served basis. Any funding that you receive does not have to be re-paid.
Article by Andrew at Energy Saving Grants
Article by GoSimpleTax
Life can be busy when you’re a landlord. Leaving aside managing your property and tenants, many landlords must also cope with the demands of a job or running a business. Then there’s your own domestic and family responsibilities.
The last thing you need hanging over you is a tax return to complete, but we’re steadily approaching that time of year again, when the midnight 31 January online filing deadline for Self Assessment tax return begins to loom in the near distance.
Time to sort out your Self Assessment tax return
Few landlords look forward to doing their Self Assessment tax returns. It’s not enjoyable, even if you do have a head for figures. Many people leave it until January, but that increases the chances of missing the deadline and having to pay a £100 fine.
About 600,000 people missed last year’s Self Assessment tax return online-filing deadline, but that was a huge improvement on the 2.3m who missed the 31 January 2022 deadline, caused largely by the impact of the pandemic.
You can file your Self Assessment tax return any time after the tax year ends on 5 April. And rather than face the stress of battling the deadline in January, you could get it done now. There really is no time like the present.
Assuming that you’re an existing landlord who is already registered for Self Assessment, here are six tips that could help you to complete your Self Assessment tax quicker.
1 Collect the information you need to complete your Self Assessment tax return
If you spend time in advance gathering all of the information you need to complete your Self Assessment tax return, you’ll get the job done much quicker. As a landlord you’ll need your ten-digit URT (Unique Taxpayer Reference), which enables HMRC to identify you. You will have included your UTR in previous tax returns.
You must also know how much gross rental income you’ve received during the tax year, and what property rental expenses you wish to claim as allowable expenses. You’ll need your National Insurance number and summary details of any income you’ve received from self-employment and other taxable sources, such as share dividend payments, pension payments, capital gains, etc, as well as summaries of costs you wish to claim as tax expenses.
If you’re employed, find your last P60, because it will show how much you’ve been paid and how much has been deducted in tax and National Insurance. If you’ve lost your P60, ask your employer for a replacement copy. If you’ve made contributions to charity or pensions that qualify for tax relief, have details of these to hand, too.
2 Be clear about which tax return supplementary pages you must complete
As well as the main Self Assessment tax return (the SA100 form), landlords must complete the SA105 supplementary pages, where you will detail your rental income and landlord-related tax expenses that you wish to claim. If you’re also a sole trader, you’ll need to also include the SA103 supplementary pages. Depending on your other taxable income sources, you may need to include other supplementary pages (visit government website GOV.UK to view a full list).
3 Pick the right time and place to fill out your Self Assessment tax return
You’ll complete your Self Assessment tax return much quicker if you do it at the right time in the right place, away from distractions and interruptions that will slow you down. If you can find a calm, isolated place, it can really help you to concentrate on the job in hand. If you must do it at home and live with others, ask them not to disturb you so you can concentrate fully on completing your tax return. Switch off your phone and any other potential distractions.
4 Get your Self Assessment tax return done in one session
If you do it in a series of shorter sessions, it will take you more time. You could find yourself putting it off and delaying it. Show more discipline. Remain determined to do it in one sitting (unless there really is no other option). If you’ve already gathered all of the information you need, completing your Self Assessment tax return should take just three or four hours. Don’t rush, because mistakes will be more likely. Be methodical. Build in enough time to check your tax return at the end.
5 Save time and money by using Self Assessment tax return-filing software
You can fill out and file your Self Assessment tax return online via GOV.UK. You’ll need to sign in using your Government Gateway user ID and password. The big drawback is you’re literally on your own. The only guidance available comes from notes HMRC publishes online, which may or may not help you.
Another popular option is to use commercial Self Assessment tax return-filing software, which can make things much easier and quicker. Basically, you specify the taxable income you need to report and the software guides you through relevant sections of the tax return, while ensuring that supplementary pages are completed. Automatic prompts reveal what information you need to enter and where, which makes mistakes less likely. Expect to pay about sixty quid or so for the year, which is significantly cheaper than an accountant, while still saving you lots of time and hassle.
6 Reach out for support to complete your Self Assessment tax return
If you really hate the idea of doing your own tax return, especially with a deadline approaching, and you can afford it, obviously, a suitably experienced accountant will complete and file your Self Assessment tax return for you, which will save you the time and hassle. If your return is simple enough, it should cost you £150-£250. If your tax return is more complex, you’ll pay more, depending on how much work is required.
Even if you do your own Self Assessment tax return, for a fee, an expert will look at your tax return and let you know if there are any mistakes. Such service providers charge about £100-£200, but you might pay less tax as a result, so it can be worthwhile.
We all want to complete things we don’t like doing as soon as possible. But you really shouldn’t rush when it comes to your tax return, because even seemingly small mistakes can have big consequences. At very least, later, you may need to correct them, which will only waste more of your time. More haste, less speed.
Record Income, Expenses and tax submission all in one.
It is the solution for landlords, the self-employed, sole traders, freelancers and anyone with income outside of PAYE.
The software will provide you with hints and tips that could save you money on allowances and expenses you may have missed.
Get started with GoSimpleTax , it’s free to try.
New legislation came into force on 01 December 2023, putting an end to the practice of disaggregating houses in multiple occupation (HMOs) and clarifying who is responsible for council tax.
Disaggregation is the process by which the Valuation Office (VOA) can ‘split’ a HMO into single units for council tax purposes, meaning landlords and tenants were liable to pay the council tax for each room, rather than for the property as a whole.
Splitting the property in this way often meant that tenants paid significantly more council tax than they normally would. It also placed the landlord at a competitive disadvantage as disaggregation was not applied uniformly, meaning that some properties on the same street would be significantly more expensive than others.
Following a consultation earlier this year – and campaigning by the HMO Council Tax Reform Group – this practice will now come to an end, reducing council tax bills for some tenants and giving certainty to landlords.
What has changed?
Landlords can now expect a HMO to have a single council tax bill. The regulations also make the landlord liable for council tax in all HMO properties, regardless of whether it is let on a joint tenancy or by the room. Given this, HMO landlords should factor council tax in for their rents going forward, if they are not doing so already.
Where the property is currently split, with multiple council tax bills sent out, the Government will ‘reaggregate’ it, to create one rebanded council tax bill.
The Department for Levelling Up, Housing and Communities has confirmed that if tenants are in arrears with council tax because of disaggregation, councils should offer discounts on the council tax bill until the issue is sorted out and the property reaggregated.
Licensed HMOs
If you have a licensed HMO property that has been disaggregated, you should not have to do anything to start the process.
The VOA has written to local authorities asking for a list of all licensed HMOs in their area.
The VOA should contact affected landlords by the end of January 2024 to inform you of the new council tax banding.
HMOs that do not require a licence
If your HMO is unlicensed (as it does not require one) the onus will be on you to contact the VOA to challenge the current banding.
The VOA should then respond to the challenge within four months, with a new council tax band for the whole property.
Please note
Rooms with self-contained facilities – e.g. a bathroom and kitchenette, will continue to attract their own council tax.
Article Abridged from NRLA
https://www.nrla.org.uk/news/dec-deadline-HMO-council-tax
Good news for landlords earning under £30,000 a year – the government have no plans to make them use the HMRC’s MTD scheme. The announcement came in paperwork released following the Autumn Statement.
As it stands, landlords with an income over £50,000 will still have to join MTD from April 2026, followed by those earning over £30,000, from April 2027.
A statement on the HMRC website says it will “keep under review the decision on further mandation of businesses and landlords with income below £30,000”,
MTD is HMRC’s plan to digitise the tax system for VAT, Income Tax Self Assessment and Corporation Tax for businesses and individuals. MTD aims to make tax returns simpler and more efficient.
Just a year ago, landlords and others were given an extension to the deadline for using the software. Now landlords earning under £30,000 a year are completely exempt (for now).
HMRC adds: “The government remains committed to delivering MTD for Income Tax Self Assessment and believes this is central to building a trusted, modern tax administration system and supporting small business productivity.
Higher earning landlords who do have to join the system from 2026 onwards must submit quarterly summary data to HMRC, rather than one larger end of year self assessment. This will have to be submitted via special software.
Article Abridged from Landlord Today
Some takeaways from Jeremy Hunt’s Autumn Statement –
Unfreezing Local Housing Allowance Rates. LHA to cover at least 30% of local market rents. The government has stated that this will give 1.6 million households an average of an extra £800 per year.
Self-employed landlords and letting agents to receive tax cuts. The cuts include an abolishment of class 2 national insurance for self-employed people earning over £12,750 per year. This means that affected self-employed people will not need to pay a current compulsory charge of £3.45 a week – saving around £192 a year. Meanwhile, self-employed people who pay class 4 national insurance will now pay 8% (rather than 9%) on all earnings. Taken together, these measures will save self-employed landlords and letting agents up to £350.
Measures to support increased homebuilding. This may alleviate pressures on the sector. The government has committed to spending more money on building new homes and relaxing planning rules. The Chancellor committed to investing £110 million into “nutrient mitigation schemes”, which could lead to the building of 40,000 more homes. There was also a commitment for £450 million worth of funding to local authorities to build 2,400 new homes, and a £32 million investment to tackle planning backlogs in Cambridge, London, and Leeds.
Opportunities for property developers, including converting houses to flats. Intention to consult on a new permitted development right, enabling any home to be converted into two flats, so long as “the exterior remains unaffected”. Meanwhile, homebuilders may benefit from new premium planning services across England with guaranteed accelerated decision dates for major applications, and fee refunds wherever these are not met.
Smaller agencies to benefit from business rate relief. The small business multiplier has been frozen for a further year. This affects small businesses – likely agencies – whose rateable value is under £15,000. These rates may impact independent high street agencies, with Jeremy Hunt stating that these measures would save the average independent shop more than £20,000 over the next year.
Higher wages for lower earning tenants and property professionals. Confirmed increases of almost 10% to the National Living Wage, from £10.42 to £11.44 an hour. The National Living Wage is the minimum hourly pay workers receive, and has now been expanded to include anyone 21 years old and above. More than 2.7 million workers will benefit from this increase, which may impact tenant affordability.
One pension pot for life to affect entire rented sector. Multiple announcements were made regarding pensions, including a commitment to the ‘triple lock’ which increases the full state pension by up to £221.20 a week (up by 8.5%).
The government-backed 95% Mortgage Guarantee Scheme has been extended until the end of June 2025 – 18 months longer than previously agreed.
Universal Credit and other benefits to rise from April by 6.7%.
Article Abridged from GoodLord & Landlord Today
On 07 September 2023 the government released a publication named ‘Understanding and addressing the health risks of damp and mould in the home’. The publication highlights the serious negative health implications which damp and mould can pose. Further it provides detail on the legal responsibilities placed on landlords to ensure that accommodation they provide is free from serious hazards and fit for habitation.
If tenants report damp or mould within their home, landlords must address the problem promptly.
Visit the property and identify the cause of the problem, if you cannot identify the problem, you can instruct a damp surveyor to create a report.
Once damp and mould have been identified, it is essential that the mould is removed promptly, reducing health risks for tenants.
Mould can be removed from hard surfaces with an appropriate cleaning product and should be left to dry completely. Mould and mildew products should be used in preference to bleach, for health and safety reasons. Absorbent materials such as carpets, soft furnishings and ceiling tiles may have to be thrown away if they become mouldy, as it may be difficult or impossible to remove the mould completely. While most tenants could reasonably be expected to remove condensation and very small amounts of mould using an appropriate mould and mildew cleaner, larger areas of mould should only be addressed by qualified professionals. When identifying an experienced contractor, landlords should check training, qualifications and references. Regardless of the extent of mould, the person removing the mould should wear protective equipment, such as a mask, gloves and goggles, in order to avoid contact with mould spores or cleaning products.
If the problem is structural or through faulty installation, you must make a repair as timely as possible. Keep the tenant informed of actions and time frames. If the following problems are present, you must make repairs; leaking internal pipes, not enough ventilation, broken boilers and heating systems, cracked or rotten window frames, leaking roofs/faulty guttering, faulty extractor fans, external and internal structural defects. Fix any damage caused by the damp e.g., redecorate/clean carpets etc. You should check in around 6 weeks after the repairs are made to ensure that the problem has been resolved.
If the problem is not structural and not through faulty insulation – it’s likely that condensation is causing the damp/mould. It happens when moisture in the air meets a cold surface, like a window or an external wall. Tenants can do the following to keep condensation to a minimum; open windows regularly, use pans lids when cooking, dry clothes outside or use a dryer, close internal doors when you cook or shower, use extractor fans in the kitchen and bathroom, leave a gap between furniture and external walls, wipe visible condensation from windowsills each morning. Condensation is worse in cold properties, fuel affordability could be a contributing factor – encourage tenants to keep in touch with Shelter, Citizens Advice and the Local Authority if they are struggling with the rising cost of living.
There is help for tenants depending on their situation. https://england.shelter.org.uk/housing_advice/benefits/help_with_gas_and_electric_bills
Here is a brilliant damp and mould video by Plymouth Energy Community – many of our members have sent the video to their tenants to increase awareness of condensation and mould in the home.
Article Abridged from Plymouth City Council, gov.uk and Shelter
Plymouth Citizens Advice have created a booklet for tenants to highlight landlord and tenants repair/maintenance responsibilities. Landlords may like to share the booklet with their tenants to encourage the reporting of repairs and to make it clear who is responsible for what in the tenants home.
This month’s 30 minute Ashley Taylors Legal Webinar looks at ‘Disrepair Claims’ – an easy option for delaying possessions claims and in fact, there are now TV adverts encouraging compensation claims for tenants. Learn how to minimise these.
When: Thursday 9th November 2023 2.15pm – 2.45pm
Topic: Avoiding and Minimizing Disrepair Claims
Register in advance for this webinar:
https://us02web.zoom.us/webinar/register/WN_IwiFAoOARzCaX-bQmr3Hyg
After registering, you will receive a confirmation email containing information about joining the webinar.
PLEASE NOTE, THIS IS NOT AN SWLA WEBINAR
A note from the host – Martyn Taylor;
I have seen so many cases in the last nine months of tenants raising disrepair either in possession actions or bringing actions against their landlords for disrepair in ever increasing numbers that I am moved to make my next talk about how you can minimise these.
It’s not so much that I have seen a significant rise in disreputable landlords, it’s more that many of these claims could have been undermined from the outset if Landlords or Managing Agents had been shown ways to combat these claims. Many of you do know your duties and operate systems to do what is right but the way claims are brought means that you feel the playing field is not level. It’s not! That’s why we need to discuss this from my perspective to help you help me for a better outcome.
This talk is deigned to do just that.
Deals now live! Online and in store. SWLA TradePoint members receive an extra 10% off these prices. For all deals see the TradePoint website;
TradePoint | Trade Building Supplies | TradePoint (trade-point.co.uk)
Thanks our 54 members and guests who braved the bad weather to attend our latest speaker meeting at The Future Inn, Plymouth! It was great to chat to members old and new and listen to our excellent speakers.
We had Claire Weeks of Coast Inventories, a very experienced and professional inventory clerk who many of our members use for their inventories. It seems that inventories are becoming more and more important for landlords who want to really protect themselves and their investment, especially with upcoming legislation changes. Coast Inventories – South West Landlords Association (landlordssouthwest.co.uk)
We also had David Aggiss kindly returning to speak to our members, after speaking at our online meetings in lockdown. A captive audience enjoyed hearing the current trends and changes in the mortgage market – gaining knowledge about borrowing and the different ways to achieve their financial aims. Three Sixty Mortgages – South West Landlords Association (landlordssouthwest.co.uk)
We also had TradePoint/B&Q attend, reminding our members about the 10% discount for SWLA members. For details on how to apply, please contact the SWLA office.
We look forward to our next meeting!
This month’s 30 minute Ashley Taylors Legal Webinar looks at this Bill as currently drafted, it will give you a view of what to expect operationally and how it will actually work in practice.
When: Wednesday 18 October 2023 2.15pm – 2.45pmTopic: The Renters Reform Bill Register in advance for this webinar:
https://us02web.zoom.us/webinar/register/WN_ValPFuzaTVuH_wvzKdlT_g
After registering, you will receive a confirmation email containing information about joining the webinar.
PLEASE NOTE, THIS IS NOT AN SWLA WEBINAR
SWLA TradePoint members will receive their usual 10% off on top.
Housing Secretary Michael Gove has suggested that the Bill is scheduled for its Second Reading later this autumn. Addressing Conservative conference delegates at a Centre for Policy Studies meeting, Gove dismissed rumours of opposition from some Tory backbenchers and reiterated the government’s commitment to the legislation.
The Chief Executive of the National Residential Landlords Association, Ben Beadle, was at the meeting and expressed his support on social media……
“The backbench concerns of rental reform are not the view of the government, says @michaelgove, with the Second Reading scheduled for the autumn. Delighted to hear him speak so strongly on the need for responsible #landlords and @NRLAssociation campaigning.”
You can follow the Bill’s progress here; https://bills.parliament.uk/bills/3462
The SWLA President, Chairman and Office Manager held a meeting in their offices, 03 October 2023, with Councillor Chris Penberthy (Cabinet Member for Community Connections), Matt Garrett (Service Director for Community Connections) and Dave Ryland (Strategic Manager for Community Connections).
On the agenda;
Lots of constructive conversations and more meetings planned.
