Generation Rent will be £2.5 billion better off under a Labour government

Today Ed Miliband will pledge a fairer deal for renters as home ownership remains at its lowest level for 30 years

 

Today Ed Miliband and Emma Reynolds will set out what action a Labour government will take to help ‘Generation Rent’. There are now nine million people renting homes, many of whom are young people or families just starting out.

The housing shortage is making it impossible for young people to afford homes – the average house price is eight times higher than the average wage. During this government we have also seen the lowest levels of housebuilding in peacetime since the 1920s. House of Commons analysis shows that on current trends, the average deposit of a home in the UK will be £72,000 by 2020 – it is little wonder that home ownership is at its lowest level for thirty years.

Today the Labour leader and the shadow minister for Housing will reveal how ‘Generation Rent’ will be better off by an average of £624 each under a Labour government. They will pledge to ban rip-off letting agent fees, legislate for three year tenancies to give renters security and peace of mind, and end excessive rent rises by putting a cap on rent increases during the new three-year tenancies.

Ed Miliband is expected to say:

“The amount needed for a deposit on a home has risen beyond the reach of millions of young people and families starting out.

“As well as building more houses and helping people get on the property ladder, a Labour government will take action immediately to make life better for all those renting their home.

“Moving house is an expensive time anyway and there is no reason why Generation Rent should be ripped by rules which don’t apply to property owners.

“The first Queen’s Speech of the next Labour government will set out legislation to ban letting agent fees charged to tenants. It will save Generation Rent £2.5 billion over the next parliament. And it will save the typical renter £624.”

Meanwhile Ms Reynolds will visit Hampstead & Kilburn, calling on young voters to make their voices heard in the election. She will be kicking off a national campaign to visit seats with high levels of private renters to highlight Labour’s policies.

Ms Reynolds is expected to say today:

“Renters have to work two days a week – the equivalent of working every day until the 28th May this year –  before they pay the rent. But in return they get no stability, poor standards and they have to pay hundreds of pounds in rip-off letting agent fees.

“We are also committed to tackling the root causes of this crisis by getting at least 200,000 homes built a year by 2020.

“From now until the General Election I will be in key seats talking to voters about our plans for housing. And as part of voter registration week, I will be encouraging private renters, who are one of the most under-registered groups, to get registered so that their voice can be heard in May.

“Generation rent deserves a fairer deal. Only a Labour government is set on delivering it.”

42 Responses to “Generation Rent will be £2.5 billion better off under a Labour government”

  1. How Bloggs.

    I am saying that allowing 4000 incomers a day to settle here exacerbates an already difficult situation re housing and other public services.
    You seem to be yet another one who needs to go to Specsavers.

  2. PeterPuffin

    The problem was the “BAIL Out” of private sector mortgages and the banks that raised debt from 40% GNP to 70% under Brown (not that high but now far far higher post Osbourne disaster but not referenced in “the papers”); if you wish to parrot the propaganda of the Corporate Press and the interests of the 1% maybe they should give you a stipend………………as with climate “sceptics” and the servants of Big Oil.

  3. PeterPuffin

    As a lifelong Labour man and private tenant can I communicate my utter depression with “this so called plan” ; it is common within the Labour family and we are deserting in droves….of the 200,000 units by 2020 of which 50,000 are affordable…….at this rate it will take 100 years to tackle the “waiting lists” so where is the hope for ordinary people?……….Where is the analysis re “Boom and Bust”; I listened to Emma Reynolds at the Generation Rent meeting yesterday and was struck by the utter failure, the gulf, between the politicians (apart from the outstanding Caroline Lucas MP) and the people on the floor. This bodes bad for Parliament and I am afraid to say that i shouted at her when she refused to answer the direct question put to her re rent controls and this “fairer” deal proposed by her that in a corrupted market emphasises “market rents ” (post 2007 that concept is laughable) ties the cash cow of the tenant into the abusive culture that is the private landlord class with their deteriorating stock and damp homes while providing very adequate exemptions to the landlord ( i have been evicted for every one of the exemptions she provides)…let me say this to any Labour person that can communicate to the hierarchy and Ed Balls in particular the architect of this chaos and the 2007/8 crash driven by private landlords and the privatised banks……………he has signed up to the toughest austerity plan in the West……………..well just like in Greece Labour is going to implode under this unless this “plan” is redrawn………………….we need ambition, we need drive, we need some guts and some fire and the only person that is providing that yesterday is the Greens………so may I suggest to the Labour Party that they accept the Greens proposal for a Rent Commission and their housing strategy because at the moment they are not offering an alternative to the British people as is their duty as the Opposition.

  4. LB

    Crap. Really Crap. Not at all the case.

    Here’s how you tell who has been conned, you or me.

    How much did the amount the state owe for just pensions change between 2005 and 2010?

    Now that’s the Brown era. If that is more than 30%, then you have been conned. Pensions are just part of the state’s debts.

    You really do need to be more skeptical. Perhaps I can interest you in a financial product? Once a mark, always a mark.

  5. PeterPuffin

    Private sector mortgages were the debt write off re Northern Rock HBOS and a myriad of small companies………then 500 bn in QE to stabilise the property market………..you have a manners deficit also.

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