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The government has confirmed a set of measures to protect renters and landlords affected by coronavirus, including suspending evictions.
Editor at Credit Strategy. Previously held roles at Accountancy Age, Accountancy Daily and the Leicester Mercury.
Editor at Credit Strategy. Previously held roles at Accountancy Age, Accountancy Daily and the Leicester Mercury.
No new repossession proceedings will begin through applications to the courts during the outbreak, while landlords will be protected through an extension of the three-month mortgage holiday to cover buy-to-let.
As a result, no renter in either social or private accommodation will be forced out of their home during the outbreak.
Emergency legislation will be taken forward as an urgent priority so that landlords will not be able to start proceedings to evict tenants for at least a three-month period. As a result of these measures, no renters in private or social accommodation needs to be concerned about the threat of eviction.
Housing secretary Robert Jenrick MP said: “The government is clear – no renter who has lost income due to coronavirus will be forced out of their home, nor will any landlord face unmanageable debts.
“These are extraordinary times and renters and landlords alike are of course worried about paying their rent and mortgage. Which is why we are urgently introducing emergency legislation to protect tenants in social and private accommodation from an eviction process being started.
“These changes will protect all renters and private landlords ensuring everyone gets the support they need at this very difficult time.”
Marc von Grundherr, director at letting and estate agent Benham and Reeves, said: “We’re all for state support at a time of crisis however there’s a significant unintended consequence of this announcement and that is the fact tenants now have nothing to lose if they simply stop paying their rent. It will simply be used as a literal get out of jail free card for all of the UK’s 16 million or so private and social housing tenants and this could leave a path of destruction within the rental market if not correctly implemented and monitored.”
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