Monday 21 September 2009

Lloyds bank group cuts the amount it will lend by 80%

The Lloyds Bank group - the taxpayer owned bank - has announced that it is slashing the amount it will lend to landlords by nearly 80%.

Previously the group, which now includes Lloyds TSB, the Cheltenham & Gloucester, Halifax and Birmingham Midshires would have lent a combined £14m to a single applicant (subject to all the usual criteria). Last week the bank reduced that figure to £3m.

In our opinion there is no commercial reason for the bank to take this action at this time. According to all the recently published data house prices are, at worse, stabilising. Landlord defaults are reducing and interest rates are at an all time low.

The crucial point here is that we, the taxpayers, own this bank. NetRent.co.uk calls on the Government to explain why it continues to allow banks like Lloyds to take decisions like this.

The Government has continually said that it will make the banks support small and medium sized businesses. Most landlords are small and medium sized businesses and yet we see absolutely no evidence that any of the banks are proactively helping landlords. In fact they are, like Lloyds, are doing exactly the opposite.

Can you explain it Mr Brown and Mr Darling?

Thursday 17 September 2009

1 in 3 landlords breaking the law over tenant deposits


The Deposit Protection Service has issued a press release claiming that 1 in 3 landlords are not complying with the legislation regarding tenant deposits. The press release reads:



The number of landlords flouting tenancy deposit legislation has halved in the past year – but
almost one in three is still not obeying the law.

A survey by The Deposit Protection Service (DPS) revealed that 30 per cent of landlords are
prepared openly to admit to not registering a deposit – compared to 61 per cent in 2008.

The DPS has now backed proposals for a register of landlords, which would encourage
compliance with the law. Landlords have been required to register deposits with a
Government-accredited scheme since April 2007.

Kevin Firth, Director of The DPS, said: “Good progress has been made within the industry at
raising awareness of landlords’ legal responsibilities.”

“The fact that the number of landlords ignoring the law has halved is testament to the fact
that most landlords want to do the right thing.”

“But more needs to be done and ignorance is no excuse. We believe that the introduction of a
national register would make landlords more accountable and offer tenants a greater level of
protection.”

“Mandatory registration and deposit protection would leave rogue landlords with nowhere to
hide! “

The DPS is the only scheme to physically hold onto a deposit. It is provided free of charge,
and funded entirely by the interest earned from deposits held in the scheme.

Since the launch of the DPS in 2007, around 700,000 deposits have been protected, worth
over £520 million pounds.

The DPS surveyed more than 500 landlords to ask which, if any, deposit protection scheme
they registered their tenants’ deposits with.


For more information about tenant deposits please click here Tenant Deposits


Wednesday 2 September 2009

The Government publishes help for people with rent arrears

The Government has published a comprehensive guide for people with rent arrears on it's DirectGov website.

The advice includes a video and advice on how to deal with your landlord. As well as being essential reading for people with rent arrears it would also make sense for landlords to ensure that they are fully aware of the advice.

Click here for more information What You Can Do About Rent Arrears

Tuesday 1 September 2009

The EU Ban on 100 Watt Light Bulbs Comes Into Force

A European Union ban on the manufacture and import of 100 watt and frosted incandescent light bulbs came into force on 1st September.

The EU wants the bulbs to be replaced mainly by longer-lasting compact fluorescent lamps. According to the Energy Saving Trust the fluorescent bulbs use 80% less energy than the traditional bulbs which have been in use since the 19th century.

According to reports from shopkeepers people are now stockpiling supplies of the 100 watt bulbs. The ban will be extended to all incandescent bulbs by 2012.

For more information see European Commission (Energy efficiency advice) also Energy Saving Trust and Defra