More than half of all private landlords planning to reduce lets to housing benefit tenants

Landlord Expert
By Landlord Expert June 16, 2011 08:52

The National Landlords Association questioned 455 private landlords with LHA properties and discovered that 58 per cent said they would have to cut the number of homes they let to benefit recipients.

Of those planning a cut, 90 per cent said they would push this through in the next 18 months with one third saying they would be cutting their LHA properties immediately.

Of those surveyed, 80 per cent had concerns about the reduction of LHA rates from the average market rent to the bottom 30 per cent and fears over future LHA rises being linked to the Consumer Price Index instead of true market rents.

The survey found that 90 per cent of landlords said they could not afford to reduce rent to absorb the cuts to LHA.

David Salusbury, chairman of the NLA, said: ‘These findings by the National Landlords Association are concerning as they indicate that cuts to LHA benefits are forcing landlords out of this part of the rental market.

‘The private rented sector is playing an increasingly important role in providing accommodation to housing benefit recipients in the UK. 

‘The Government is implementing cuts which, this survey tells us, is likely to lead to an increasing number of people struggling to pay their rent.

‘The NLA believes there is a risk that the Government’s policies will result in fewer affordable rental properties available to vulnerable families across the UK, especially as the number of people claiming benefits continues to rise. 

‘Benefit payments must ensure that LHA tenants are not left at risk and that landlords providing this much-needed housing can cover their costs.’

Landlord Expert
By Landlord Expert June 16, 2011 08:52

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