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Government welfare reforms rejected by landlords

November 7th, 2012

The government’s plans to introduce universal credit have been roundly rejected by landlords in the private rental sector.

Ministers wanted to introduce a system where those leasing property within this part of the rental market were paid housing benefits directly to them in return for lower rental costs.

However, the Residential Landlords Association (RLA) and the Scottish Association of Landlords stated that 62.3 per cent of its members were not prepared to lower their rents as part of these arrangements.

The organisations also noted that 65.2 per cent of respondents to their survey were opposed to the government’s idea of universal credit.

Alan Ward, chairman of the RLA, said: “The uncertainty being created by ministers’ failure so far to issue regulations concerning the circumstances under which payments would be made directly to landlords is causing uncertainty for landlords and concern about renting to those on benefits.”

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