FCC Paragon says Landlords should not be concerned by the Renters Rights Bill

FCC Paragon, a leading lettings industry services supplier has stated that the Renters Rights Bill should not be a major concern for buy to let investors and landlords, after some landlords have raised concerns that the RRB will mean a loss of potential rental income due to restrictions on increasing rents. A spokeperson for FCC Paragon said: “The Renter’s Rights Bill will not hamper the profitability of being a buy to let landlord. Nor will it slow the rising price of rent in Britain. With regards to rent prices, the key focus of the RRB appears to be stopping landlords from forcing evictions by increasing rent to an unacceptable level that is out of step with fair market rates. But by no means does it mean that landlords cannot increase rent for existing tenants to match increases in that fair market value. For example, landlords in London can now fairly insist on increasing their rents by up to 9.9% for tenants who moved in at the start of 2024. As such, they are going to be no worse off with the RRB in place than they would be without it. The government is determined to avoid implementing any kind of rent control on the British market, so this is an attempt to thwart the unfair practices of a few landlords and ensure people can afford a good home without having to stem the profit potential of enterprising landlords.”

Government figures show rent prices have increased by as much as 9.9% in the past year, FCC Paragon says that when the Bill is passed, it is unlikely to hamper landlords’ ability to benefit from the thriving rental market.

The average rent in the UK is £1,338 per month, an increase of 8.1%, in the past year, equivalent to £8.33 a month. The North West of England has seen an annual increase of 9.3%, the North East (8.7%), Wales (8.6%), East Midlands (8.4%), East of England (8.1%), West Midlands (7.5%), South East (7.1%), South West (5.9%), Scotland (5.7%), and Yorkshire & Humber (4.9%).