RLA and CIH agree that incentives as well effective enforcement are needed to improve the private rented sector. The joint report, from the Chartered Institute of Housing (CIH) and the Resolution Foundation (RF), says that targeted incentives for landlords would enable reinvestment into improving, maintaining and effective management of their properties, offering a ‘something for something’ deal.
RLA Chairman Alan Ward appeared on BBC Breakfast News on Saturday (30th August) to comment on a report calling for incentives for landlords to sign up for accreditation. Other BBC news channels picked up the interview on Saturday August 30th.
The report highlights that private landlords currently receive tax allowances for repairs and maintenance, but there is no incentive to carry out work above the minimum standard – and that standard is not being enforced effectively.
CIH state that these financial incentives could take the form of new additional funds for Landlords who sign up for a recognised accreditation scheme, or could be diverted to more robust enforcement systems for those who do not comply.
RLA chairman, Alan Ward, explained the RLA has consistently campaigned for landlords to be able to treat any improvement needed to bring a property up to standard as an ‘allowable expense’, instead of deducting it from their capital gains tax liability.
He emphasised the problems faced by councils, but called for better prosecution of criminal landlords. He said that the majority of decent and honest landlords should be allowed to “self-regulate” – as proposed by the RLA’s co-regulation policy. And called for a single accreditation standard which would allow landlords to register once, and be recognised by all local authorities, rather than be licensed separately.
You can download the full report by CIH and the Resolution Foundation (RF) here: http://www.cih.org/publication-free/display/vpathDCR/templatedata/cih/publication-free/data/More_than_a_roof_how_incentives_can_improve_standards_in_the_private_rented_sector