Landlords and the proposals to introduce minimum three-year tenancies

The government’s recent proposal to introduce minimum three-year tenancies to give more security for tenants in the private rented sector has received a mixed response from landlords, who say it might further disincentivise buy-to-let landlords from providing much-needed accommodation, especially in London.

The Secretary of State for Communities, James Brokenshire MP, has outlined the government’s plans to bring in minimum three-year tenancy terms with a six-month break clause, offering greater security and flexibility for tenants as well as better financial security for landlords.

Many regulations have been introduced in recent years which impact landlords, including higher energy efficiency standards and new Right to Rent rules in addition to tax changes.

There is a fear that more regulations will only serve to disincentivise buy-to-let landlords further at a time when rental properties remain in high demand in London and elsewhere.

There are also fears that the plans, if implemented, will mean greater restrictions for landlords and less flexibility for them should things go wrong with a tenant.

However, the government has stressed that the proposals to bring in longer tenancies will be of benefit to tenants and landlords, offering security and continuity and fewer void periods.

Find out more about the proposals to introduce three-year tenancies and what they might mean for landlords by clicking the link below:

Landlord Today