Currently viewing the tag: "Mark Prisk"

 

Government Manage To Lose Housing Minister

Government Manage To Lose Housing Minister

Government Reshuffle Does Away With

Housing Minister Position

Mark Prisk, the (now former) Government Housing Minister and Conservative MP for Hertford and Stortford, lost his Government position after the cabinet reshuffle last Monday.

 

New Under Secretary of State - Kris Hopkins will be responsible for Housing

New Under Secretary of State – Kris Hopkins will be responsible for Housing

Housing will now be part of Conservative MP for Keighley, Kris Hopkins responsibility as he steps into a new Government role as Under Secretary of State, rather than Housing Minister and he will be deputy to the Secretary of State.

Mr Hopkins is another former leader of Bradford Council, like his ministerial counterpart, Eric Pickles.

News of the ministerial reshuffle was broken last week via the Government’s Twitter site and also by Mark Prisk himself via Twitter, however on the Conservative Party website it was alleged that Mr Prisk had been asked to step aside due to his reluctance to undertake media interviews rather than his actual work.

Government Manage To Lose Housing Minister

Government Manage To Lose Housing Minister

The Conservative MP tweeted “Been asked to step aside for Housing for a younger generation. Disappointing but its been a great eleven years on frontbencher”

Reflecting on the property market recently, the Hertford and Stortford MP commented: “As a Government we have worked hard and prioritised limited financial resources to help the housing market through one of its toughest times and create the right conditions for it to flourish.”

Mr Prisk inherited the Housing Ministers job from Grant Shapps, who was promoted to Conservative Party Chairman, in September 2012. His previous roles included working on the Government’s Construction Strategy at the Department for Business, Innovation and Skills.

Richard Lambert, Chief Executive Officer of the National Landlords Association (NLA), commented on the cabinet reshuffle stating: “The NLA is pleased to welcome Kris Hopkins as Parliamentary Under-Secretary of State. We hope the incoming minister will take a proactive and holistic approach to addressing the issues facing the housing sector exacerbated by the shortage of housing supply. However, it is extremely disappointing to see the Coalition reduce the significance of housing within Government. Given the significant challenges facing households throughout the country it is essential that housing takes centre stage in political debate. We hope the apparent demotion of the housing portfolio from Minister of State to Under-Secretary of State does not reflect a change in priorities from the Government ahead of the General Election in 2015.”

 

Government Seek Bids For Build-To-Rent Scheme

Government Seek Bids For Build-To-Rent Scheme

Build-To-Rent scheme seeking bids from property developers to help bring about the fastest rate of affordable residential property construction for two decades 

UK Government Housing Minister, Mark Prisk, last week announced a second round of funding for the construction of new rental properties and the government are seeking fresh bids for a share of at least £400 Million (GBP) to build new properties specifically for the private rental sector (PRS).

The funding is part of the flagship £1 Billion (GBP) Build-To-Rent fund, which offers support for property developers and property investors who want to get into the private rental sector for the first time.

Mr Prisk said the new Build-To-Rent scheme would encourage investment in the UK’s private rental market and offer prospective tenants a greater choice of rental property. The scheme is intended to run alongside up to £10 Billion (GBP) in government housing guarantees.

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New Affordable Housing Guarantees Funding Is Intended To Deliver

New Affordable Housing Guarantees Funding Is Intended To Deliver
Thousands Of Affordable Properties

New Affordable Housing Guarantee Funding Is Intended To Deliver Thousands
Of Affordable Properties

On the 24th July 2013, Government ministers announced a multi-million pound boost to build thousands of new and affordable residential properties in the UK.

69 different housing associations and developers will each receive a share of £220 million (GBP) to deliver almost 14,000 new and affordable residential properties outside of the London area.

Work on the new residential properties will be started by March 2015 and will be expected to be completed by 2017.

The move is part of wider government efforts to get Britain building, which will lead to the fastest annual rate of affordable house building for over 2 decades.

The increased funding is part of the expanded £450 million (GBP) Affordable Housing Guarantees which will support up to £3.5 Billion (GBP) in government debt guarantees to deliver thousands of new homes.

Of the almost 14,000 homes this money will help deliver, the majority will be available at an affordable rent with 2,000 of those available to buy through shared ownership.

Housing associations and developers who plan to use the guarantee scheme will now work with the Affordable Housing Finance to finalise the details of the loan funding that will work alongside today’s grant allocations.

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UK Housing Minister Promises No Property Purchasing Reforms

UK Housing Minister Promises No Property Purchasing Reforms

UK housing minister Mark Prisk has stated that the Government has no plan to reform the property buying process in England and Wales.

Answering a question from Welsh Tory MP Alun Cairns in the House of Commons, Mr Prisk, a former chartered surveyor, dismissed any idea that he considered the Scottish system superior.

Mr Cairns asked the Secretary of State for Communities and Local Government (CLG) what consideration the department had given to reforming the residential property purchase system; and what assessment had been made of the same process in Scotland.

Mr Prisk replied that there were no current plans to change the current residential property buying and selling system in England and Wales, where properties are sold ‘subject to contract’.

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Gov Insist Direct Payment Deal Is Bringing PRS Rents Down

Lord Freud, the Government welfare reform minister, has claimed that the majority of UK landlords of benefits tenants have dropped their PRS rental prices in return for getting direct payments.

Government Out Of Touch On PRS Rents

Government Out Of Touch On PRS Rents

The “out of touch” statement does not reflect what is really happening in the UK Private Rental Sector or the rise of PRS rents and is giving misleading information to existing landlords.

The Government temporarily extended the discretion of local authorities to make direct payments to landlords last April when caps to Local Housing Allowance (LHA) were introduced, paying a maximum of £400 a week for a four-bed property.

Private sector landlords were told that they could only receive direct payment for tenants claiming benefits if they lowered their PRS rent. This simply is not true!

According to the essential landlords handbook written by theLHAexpert.com – UK Landlords can still receive direct rent payments for tenants claiming benefit if the tenant is classed as vulnerable.

Speaking at the National Landlords Association (NLA) annual conference, Lord Freud said “The measure has been very successful. In London alone, a third of claimants who tried to renegotiate their rent received a rent cut. This arrangement will stay in place for housing benefit claimants, prior to the move to Universal Credit. There has been no mass exodus of people moving out of city centres or widespread homelessness because of our housing reforms.”


Hmmm… I was under the impression that some local authorities had been criticised for shipping families out of their boroughs, in a bid to avoid local authority overspending on PRS rents…and London is the worst culprit!

In a report titled “Between A Rock And A Hard Place: The Early Impacts Of Welfare Reform On London”,by the Child Poverty Action Group and Lasa, a welfare rights charity, found that many councils are actively considering obtaining accommodation elsewhere, while others believe that making up private rent shortfalls will leave the authorities with gaping holes in their budgets. The report also predicts that 124,480 London residential households will be hit by a combination of cuts to Local Housing Allowance, the new benefit cap which means no household can claim more than £26,000 a year in total, and under-occupation penalties.

According to a survey in the Guardian, some London councils are already acquiring properties in Kent, Essex, Hertfordshire, Berkshire and Sussex, and are considering accommodation in Manchester, Hull, Derby, Nottingham, Birmingham and Merthyr Tydfil in South Wales.

This is despite guidance issued by former government housing minister, Grant Shapps telling councils in May 2012, that they must “as far as is reasonably practicable” offer accommodation for homeless families within the borough.

Prime Minister David Cameron told MPs last January at Prime Minister’s Questions that housing benefit reform had brought private rent levels down, a claim repeated last month by, newly appointed, government housing minister, Mark Prisk.

Local councils in London say that because of buoyant demand, Private Rented Sector (PRS) landlords see no reason to drop rents for benefits tenants, and that many landlords have already refused to accept applications from tenant’s claiming benefits.

So Mr Cameron does refusing tenant’s on benefit qualify as reducing LHA rents?

Just because there has been a drop in Government and local authority spending on LHA payments, it does not support the Governments claims. The real truth is that the Government are putting the squeeze on the UK PRS as they fear that landlords will make more profit than the government can either control or even tax.

Such a shame that the people who are supposed to be in charge of our country are so out of touch with the real world, especially in the wake of Friday’s post about “Record Rental Prices”.

UK Landlords Need More Finance To Expand Rental Property Portfolio's

UK Landlords Need More Finance To Expand Rental Property Portfolio’s

The Residential Landlords Association (RLA) have discovered that finance for landlords is woefully inadequate with almost 50% of UK landlords struggling to get additional mortgages, remortgage or even obtain more finance.

The RLA asked its members about obtaining further finance to expand their rental property portfolios

  • 24.1% found it very difficult to get a Buy-To-Let mortgage
  • 21.3% said it was impossible for them to obtain a Buy-To-Let mortgage.

The Residential Landlords Association findings about finance for landlords comes as the UK Government seeks to boost support for the private rented sector following the recent publication of the Montague Review.

The RLA have also stated that biggest challenge ahead of Mark Prisk, the new Government Housing Minister, will be to unlock enough financial support from banks to help small scale landlords expand their businesses.

The RLA have also voiced concerns about higher rents in the PRS caused by the unprecedented demand for rental property and the current shortage of supply. Additionally, the reluctance to lend by banks is also severely hampering the ability for the private rented sector to grow to meet the housing needs of young people and their families.

RLA Chairman, Alan Ward, said: “We welcome the Government’s renewed commitment and interest in the opportunities that the Private Rented Sector can play in meeting the country’s housing needs. However, this will not happen without financing from the banks. It is time that the blame game for the difficulties in accessing finance between Government and the banks came to an end for the sake of those desperate for a roof over their heads.”

Finance 4 Landlords specialise in Buy-to-Let Mortgages and Remortgages, Landlords Insurance, Rent Guarantees, HMO Finance and Bridging Loans.

Great Mortgage Deals for Landlords

Great Mortgage Deals for Landlords

Universal Credit Row Rages On

Universal Credit Payment Row Rages On

MP’s Fight Among Themselves As Universal Credit Row Gets Heated!

A parliamentary debate held earlier this month (September) saw MPs from both sides of the house getting a little hot under the collar, arguing about how payment of the new Universal Credit benefit, due to be introduced next year, should be made.

Universal credit is set to take over from Local Housing Allowance (LHA) and controversy surrounds the fact that ALL payments will be made directly to the claimant rather than to their landlord or the letting agent managing their rental property – just as LHA payments are paid now.

During the debate, Labour MP Alex Cunningham raised the concern that the new Universal Credit could result in large rent arrears being accrued and an increase in tenant evictions if payments are made directly to tenants, and claimants living in private rental properties should be given the option to have the payments made direct to their landlords.

Department for Work and Pensions (DWP) minister Iain Duncan-Smith however vehemently defended the decision for direct payment stating that “Benefit claimants shouldn’t be treated like children who can’t manage their own pocket-money. Claimants would benefit more by showing them trust, and that by doing so they would be more likely to cope better when they return to work.

The Residential Landlords Association (RLA), the National Landlords Association (NLA) and homeless charities Shelter and Crisis, have all lobbied the Government to give claimants the ability to choose how the benefit is paid, but they require the support of all UK landlords.

Property professionals, letting and managing agents, property investors and landlords need to get the weight of support behind the campaign and your help is required, please Sign the e-petition here.

UK landlords are warned to prepare for the worst case scenario and act quickly to evict tenants if rental arrears exceed 8 weeks, as it remains to be seen if the current rental arrears problems will worsen with the new Universal Credit benefit system.

If you have a problem with tenants in more than 8 weeks rent arrears please contact us and we can start eviction proceedings for you. Call Now on 0844 567 4001

The UK's leading tenant eviction specialists

The UK’s leading tenant eviction specialists

Letting Agents Face More Regulation And Red Tape

Will UK Letting Agents Face Further Regulation?

Will UK Letting Agents Face Further Regulation?

Letting and property managing agents face the increasing likelihood of mandatory licensing following the Government’s cabinet reshuffle and the appointment of Mark Prisk as UK Housing minister.

The recent appointment of Mr Prisk as housing minister is hoped to mark a new beginning for the UK property market and it is hoped that he will be more receptive to the idea of mandatory licensing of the UK lettings industry as he first tried to introduce mandatory licensing for letting agents into a Bill back in 2007.

It is widely speculated that Mr Prisk’s views on the subject remain the same now and it is hoped that he will be more amenable to the mandatory licensing than former housing minister Grant Shapps was.

With the support of the new Housing minister it is thought that the licensing scheme is much closer to becoming a reality, although not a certainty, as the Government have previously stated that pursuing further regulation would be a waste of time and effort.

Mr Prisk’s support of the idea of mandatory licensing for the letting agent industry became public knowledge last week when during a House of Commons debate on housing, Labour MP Ian Mearns, speaking to shadow housing minister Jack Dromey, is reported to have said “Is my Hon. Friend aware that he has an ally in the new minister for housing on the regulation of the private sector? In 2007, he tried to introduce a clause into a Bill that would have regulated private letting agents.”

Mr Dromey replied: “It is welcome that the new minister for housing has taken that position. Perhaps he will follow that through in government.”

Award Winning Property Management Services

Award Winning Property Management Services

John Paul, Managing Director of award winning Castledene Property Management said “Good letting and property management agents should have nothing to fear, as they operate within the guidelines set by ARLA (Association of Residential Letting Agents), the Property Ombudsman and The National Association of Letting Agents (NALS). Further regulation of the lettings industry coupled with the Government’s welfare reforms could have an adverse effect on the UK Buy-To-Let market as a whole and unless landlords are using agents who are clued up on the proposed changes to housing benefit then we could see thousands of landlords going out of business before the end of 2013”.

Ian Potter, operations manager at ARLA, said: “It’s vital that consumers have full confidence in lettings agents, and the industry must respond to their concerns about bad practice. That’s why in the absence of regulation, we developed our own licensing scheme. All licensed ARLA member letting agents must be covered by a client money protection scheme and hold professional indemnity insurance – which means consumers are protected against negligence. They must follow our strict codes of conduct and have a certain level of training. Ultimately this means that, should something go wrong, there are protection mechanisms in place. We would therefore always advise that consumers use an ARLA-licensed lettings agent. This means that, should a landlord or tenant feel the fees were unclear, they can lodge a complaint with ARLA or utilise the Ombudsman Scheme membership, which all ARLA licensed agents are required to hold.”

Previously, the former Housing Minister Grant Shapps, had promised that landlords and letting agents would not be subject to greater regulation because it would introduce too much additional red tape. Speaking in parliament in September 2010, Mr Shapps rejected the regulations proposed by the Rugg Review, stating: “With the vast majority of England’s 3 million private tenants happy with the service they receive, I am satisfied that the current system strikes the right balance between the rights and responsibilities of tenants and landlords. So I make a promise to good landlords across the country: the government has no plans to create any burdensome red tape and bureaucracy, so you are able to continue providing a service to your tenants.”

However, now that Mr Shapps has been made Conservative party chairman and the subsequent appointment of Mr Prisk as UK Housing minister, further regulation of the industry has become widely feared, with some property professionals voicing concerns about the amount of red tape they would have to get through just to get a tenancy to commence.

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