Plans to tackle the housing crisis are back on the agenda after the recent appointment of the new Labour leader, Jeremy Corbyn, together with recent figures published by the National Housing Federation showing a huge undersupply of homes to meet the current demand as outlined in the following BBC article.
As a result we are seeing more and more people renting through dedicated PRS schemes, with this figure expected to rise to 1 in 5 people by 2040.
So what would the private rental sector look like under Corbyn’s leadership?
Corbyn plans to focus more on the tenant than the landlord, with strategies to bring rent in line with average incomes. He also aims to protect tenants wanting to rent long term by preventing future rent hikes and setting a minimum standard for longer tenancies to provide greater security.
In order to ensure a better standard of rental properties, Corbyn wants to bring in measures for the licensing and regulation of private landlords.
Corbyn intends to support private tenants wanting to buy their home through a Right to Buy shared equity scheme, where some of the funds being received by private landlords through tax reliefs are redirected to help tenants.
This is in contrast to the Conservative’s plans which are aimed towards the developer/builder with dedicated schemes such as the Build to Rent fund and the PRS housing guarantee scheme. However the Conservative’s main focus is on home ownership with the majority of their plans aimed at building new starter homes for first time buyers.
By Anna Symington