Ed Miliband has today announced Labour’s plan to help working people who rent privately.
Generation Rent are the young, families with children and middle income earners who are being priced out of the housing market.
Labour will build the homes which local people want to buy. But we will never turn our backs on Generation Rent. And we want to encourage all those responsible landlords who provide decent homes for people and stable income for themselves.
Too many people are struggling to meet the costs of putting a roof over their head. Some are saving for a deposit year after year, decade after decade, while the dream of owning their own home seems further and further away. Others are having to move all the time, ripping up the roots they have laid down at work or with friends, even having to change their kids’ schools.
Labour has a better plan. The security of three year tenancies for all who want them with rents capped, so they can fall but not rise by more than inflation. The rights they need to negotiate a decent deal with landlords and stop rip-off letting fees. And the protection for taxpayers and tenants against bad landlords who are being subsidised for providing accommodation that fails to meet basic standards.
This is a plan for a stable, decent, prosperous private rental market where landlords and tenants can succeed together.
The next Labour government will introduce legislation in its first Queen’s speech to:
- Cap rents so they cannot rise by more than the rate of inflation (CPI) during secure three-year tenancies.
- Require landlords and letting agents to disclose the rent levels charged to previous tenants so that householders can negotiate the best possible deal at the start of their contract.
- Penalise rogue landlords by reducing buy-to-let tax relief for those who own hundreds of thousands of properties which do not meet basic standards.
These new announcements follow previous measures which Labour has already set out to help people who rent including a plan for:
- Secure three-year tenancies for all people who want them so landlords will no longer be able to terminate rental agreements simply to put rents up.
- A ban on letting agent fees charged to tenants, saving the average household £625 over the next parliament.
- A national register of landlords which will enable rogue landlords to be identified and judge whether their proper meet basic standards.