ARLA - Warning of Opposition to Rental Legislation
The Association of Residential Letting Agents, ARLA, warned at its Annual Conference at the Royal College of Physicians in London on 3rd February, that it will oppose legislation effecting the Private Rented Sector whenever necessity, practicality and clarity are missing. The Association also called on government to fulfil its promise of 'joined-up' thinking when framing the promised legislation for Real Estate Investment Trusts, REITs, and Self Invested Personal Pensions, SIPPs.
"Joined-up thinking is needed to wed tenants, landlords and investors and this becomes even more important when private individuals begin to invest in property through self-invested personal pensions," ARLA Chairman Robert Jordan warned delegates in his opening address to the conference."
"If government is not clear and joined-up in its thinking, in its drafting and in its final legislation, not only could it damage landlords and tenants and agents in the Private Rented Sector but it could find itself with a damaging scandal to rival that of pensions mis-selling if REITs and SIPPs are not properly applied," Mr Jordan added.
Referring to the practical initiatives that have stemmed from ARLA over the past decade, Mr Jordan pointed out that ten years ago the Association first proposed Authorised Housing Investment Trusts, now adopted by the Chancellor as Real Estate Investment Trusts. Eight years ago, it was the ARLA initiative that led the way to new investment in good quality housing for the Private Rented Sector through Buy to Let.
For the new millennium, ARLA introduced a programme of training and qualifications that has led to 2,000 people a year taking courses. "This makes ARLA-qualified employers and staff the most professional of the professionals," Mr Jordan added.
Looking to the future and welcoming Law Commissioner Professor Martin Partington to the Conference, Mr Jordan said, "The Law Commission has proposed a radical new legal framework for landlords and tenants. I can assure you that this is one of the best examples of joined-up thinking to hit the Private Rented Sector. It will set the appropriate housing legislation for the rest of the century and greatly improve the relationship between landlord and tenant."
Welcoming the keynote speaker from the FSA, Dr Eleanor Linton, Mr Jordan warned delegates that the new regulatory requirements for insurance, such as landlords? legal expenses and rental guarantee insurance are 'thought provoking'.
However, he said that ARLA's new Code of Practice, new bye-laws and the new ARLA Model Tenancy Agreement all meant that the Association is well prepared for working in an increasingly consumer-driven industry.
"I see the next few years as the time to imprint for all time on the public's mind that ARLA is the lead professional body that represents the highest standards of professionalism, service and integrity in the rental market for tenants and landlords," said Mr Jordan.