Latest data from RICS has shown that, during 22% rise in respondents seeing a fall rather than rise in New Landlord Instructions.
According to the data, this is the eighth consecutive quarter in which this indicator has recorded a negative number.
In regards to the sales market price balance edged up from +3% to +4% in July,
Simon Rubinsohn, RICS Chief Economist “Our survey suggests that recent Government policy and legislation changes have impeded the growth of the Private Rented Sector (PRS), which is a vital part of a functioning homes market. Withdrawing tax breaks that small landlords relied on, placing an extra 3% on second home Stamp Duty, and failing to stimulate the corporate build to rent market, has understandably impacted supply.
While the current focus is rightly on using regulation to improve the experience for tenants, Government must urgently look again at the PRS as a whole, including ways to encourage good landlords. Ultimately, Government must consider the impact of its policies, and if the wish is to move away from PRS, it must provide a suitable alternative. If they wish to improve PRS, as we have suggested by professionalising through regulation and the PRS code, there is justification to reconsider the approach taken to tax.”