Tuesday, 25 November 2008

Time for Action?

In our last email and Blog we called for the Government and Banks to act to help Private Landlords. The response we received was huge as landlords emailed and rang NetRent.co.uk to support our call for the Government and Banks to act now.

Yesterday the Chancellor presented his Pre-Budget speech which he hopes will stimulate the economy and help the UK avoid a long and painful recession. There was a somewhat vague promise to present plans to boost residential mortgages in the April 2009 Budget but there was no direct assistance for the Private Rented Sector.

The banks who just 12 months ago were fighting to secure as much Buy-to-Let business as they could no longer wish to lend. The chairman of the now state owned Bradford & Bingley told the Treasury Committee last week that Buy-to-Let in the UK was now dead. The Skipton pulled out of Buy-to-Let lending completely last week. The number of Buy-to-Let mortgages continues to drop and still there is no action from the Government.

It seems clear that the banks have effectively washed their hands of the Private Rented Sector. It also seems clear that the Government is not going to help either.

Landlords cannot allow the Government and Banks to do this. There would be no benefit to the UK economy in allowing large numbers of landlords to default on their mortgages. This would just make all Buy-to-Let lending increasingly difficult.

It is up to the Private Rented Sector to make the Government and Banks listen and act. NetRent.co.uk is talking to landlords all over the country to determine what positive action can be taken to make the Government and Banks listen and act.

We would welcome your views. If you have any suggestions about how we can together make the Government and Banks listen and act please email us at enquiries@netrent.co.uk or telephone us on 01352 759988.