ASSOCIATION OF RESIDENTIAL LETTING AGENTS The Private Rented

Rental prices in 2025: • Rents will increase: – 2015 = £ 132 pw

The Landscape to 2020: • No substantive change: – Tinkering around the edges –

The Corbyn Effect: • Election pledge revamp: – Mandatory 3 Year tenancies – Capping

Landlord Licensing: • Wales and Scotland: – Existed in Scotland since 2006 – In

Longer Term Tenancies: • Tenancy Reform: – Will 3 -year contracts be the norm?

Property Conditions & Rent Control: • What is the priority: – Good quality homes

Tax Changes: • Autumn Statement 2014: – SDLT Changes • Finance Bill 2015: –

For more Information: Association of Residential Letting Agents (ARLA) Arbon House 6 Tournament Court

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ASSOCIATION OF RESIDENTIAL LETTING AGENTS The Private Rented Sector in 2025 David Cox, ARLA Managing Director WWW. ARLA. CO. UK

Rental prices in 2025: • Rents will increase: – 2015 = £ 132 pw – 2025 = £ 164 pw – c. 25% increase • Supply will not meet demand: – 4 x as many households as houses – Housing crisis will continue • Depoliticise housing: – Sustained housebuilding programme – Regulatory certainty – Institutional Investors WWW. ARLA. CO. UK

The Landscape to 2020: • No substantive change: – Tinkering around the edges – Lots of little changes • Will this solve the problem? – Under resourced and over worked enforcing bodies – Housing Bill changes may go some way • Letting agent regulation: – Highly unlikely with current Government WWW. ARLA. CO. UK

The Corbyn Effect: • Election pledge revamp: – Mandatory 3 Year tenancies – Capping Rents – Ban on agency fees to tenants • Leadership election policies: – – – WWW. ARLA. CO. UK Security of tenure Strict rent control Rents linked to earnings Landlord regulation Council house building programme

Landlord Licensing: • Wales and Scotland: – Existed in Scotland since 2006 – In force in Wales soon – Influx of discretionary licensing • A National Register of Landlords: – A bureaucratic nightmare; – Or a consistent approach? • London Rental Standard: – This model can work – Make it mandatory WWW. ARLA. CO. UK

Longer Term Tenancies: • Tenancy Reform: – Will 3 -year contracts be the norm? – Does Section 21 have a future? • Wales and Scotland: – Complete overhaul of Tenancy Law – The removal of Section 21 • A European Model? – Should we look to Germany? – France’s eviction laws – Lisbon: Crippled by rent control WWW. ARLA. CO. UK

Property Conditions & Rent Control: • What is the priority: – Good quality homes – Or cheap properties • Market Economics: – House prices are unlikely to reduce – Higher standards increase costs – Rent Control reduces income • Learn the lessons of the past: – Or history will repeat itself! WWW. ARLA. CO. UK

Tax Changes: • Autumn Statement 2014: – SDLT Changes • Finance Bill 2015: – Mortgage Interest Relief – Wear and Tear Allowance • Changes to Buy-to-Let – Linked BTL to earnings? • Future Tax Changes: – Capital Gains Tax Relief – Taper Relief – Treat landlords as businesses WWW. ARLA. CO. UK

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For more Information: Association of Residential Letting Agents (ARLA) Arbon House 6 Tournament Court Edgehill Drive Warwick CV 34 6 LG Email: davidcox@arla. co. uk WWW. ARLA. CO. UK