Councils could seize landlords’ properties under proposed Labour policy

The Labour Party has held its annual conference. What did we learn about their private rented sector policy?

With the Renters’ Rights Act done, politicians mostly focused on housebuilding, homeownership and social housing this year.  

The biggest PRS policy announcement was making it easier for councils to take over poor-quality homes from private landlords.

Immediately after the conference, the government made it easier for councils to use Empty Dwelling Management Orders (EDMO) to take over management of empty homes for up to seven years. Under an EDMO, the landlord still owns the property.

They want to go further. In his conference speech, Prime Minister Andy Burnham said that councils will be given powers to warn landlords of poor-quality homes to improve them. If they don’t, the council will be able to acquire the home.

So far, there’s no detailed proposal on the table about how that will work.

Other news from the Labour Party Conference

• Housing Minister Matthew Pennycook said that the government’s goal of building 1.5 million new homes was “always a stretching target”. A report from the Building Cost Information Service last month showed that we are less than 30% of the way to the target after more than two years.

• The government will bring the Commonhold and Leasehold Reform Bill before Parliament by Christmas. As part of their leasehold reform package, the government will also set minimum qualifications for managing agents.

• A new Your First Home scheme will give first-time buyers a government-backed 20% equity loan, and a minimum deposit as low as 2.5%. However, it will only be available when buying a new-build home from a participating developer. Full details will be set out at the Budget on 28 October.