BPF slams ‘absurd’ criticisms of investment in rental sector

The NLA statement, issued this morning, argues that encouraging large institutional investment in the private rented sector could impact on the most vulnerable tenants.

Specific needs and circumstances

‘We should be wary of calls to mirror the US housing market here in the UK,’ said NLA chairman David Salusbury, ‘especially since there are few similarities and the US housing market is suffering considerably.

‘We need to focus on developing the UK rental market around its own specific needs and circumstances.

‘Encouraging a diverse UK rental market, including encouraging professional private landlords, will enable choice that will benefit consumers.

‘Where is the evidence that large corporate investors are concerned about developing housing for the more vulnerable groups in society? Or will the focus only be on the high-profit areas of the market, as their shareholders might expect?’

But the BPF has hit back at the comments accusing the NLA of encouraging fewer choices and higher rents.

‘Whether a consumer chooses a small, medium or large landlord should ultimately be their decision and not dictated by the NLA or any other person or organisation,’ said Ian Fletcher, the BPF’s director for residential policy.

'Continuing to promote professionalism in the sector at all levels and its expansion should ultimately be good for the whole sector.

Promote protectionism

‘The BPF will therefore continue to promote an agenda, which logically supports choice, meeting housing need, affordability and expanding opportunities.

‘The NLA on the other hand, seems to want to promote protectionism, which will lead to fewer choices, greater housing need and higher rents.’

The BPF said demand is currently ‘insatiable’ for the private rented sector and could not be met by small landlords on their own.