It has been confirmed by the government that there are no plans to ban letting agent fees in England. Having been asked to look into how effective the ban on fees has been in Scotland, the government reported that there was no strong evidence to suggest any beneficial effect.
Housing Minister Brandon Lewis said that his department had â€œno plans to further regulate the private rented sector by banning letting agent fees in England, as this would only reduce the number of properties available to rent, which would not help tenants or landlords.â€
Lewis pleased many in the property industry last week when he announced at a conference that he aimed to â€œprofessionaliseâ€ the booming rental market, intending to drive out the minority of rogue landlords while keeping keeping the sector free of red tape.
He spoke about the future of the private rented sector, which he says is transitioning â€œfrom smaller landlords to bigger landlords creating bigger schemes and driving supply.â€ It is becoming a professional rented sector rather than private, which is the reason for the introduction of the build to rent fund to create 10,000 homes for rent.
His comments were warmly received by institutional investors, whose private finance could drive the supply of much needed additional housing supply.