Half of UK landlords are losing income due to Coronavirus

The pandemic has severely affected UK landlords.

More than half of private landlords have lost rental income due to the Covid-19 pandemic, according to an investigation by the NRLA.

Some (56%) had lost rental income as a result of the pandemic, and 12% had lost more than 20% of their income.

Of all those who had lost rental income, 22% had lost more than £ 5,000, and 59% had lost more than £ 1,000, with 36% saying the losses continue to mount.

“Landlords did not receive the same help from the government as tenants.”

Ben Beadle, Executive Director of the NRLA, said: “While most landlords have done everything possible to help tenants affected as a result of the pandemic, we have now come to the end of what they can do.”

“The simple fact that we continue to prohibit foreclosures means that tenants struggling to pay their rent are running up more debt, reducing their chances of paying it off. Ultimately, this will put more renters at risk of losing their homes.”

“Ministers must develop a proper plan to maintain leases and help the rental market recover. This should include a financial package that allows tenants to pay the arrears accumulated as a direct result of the pandemic.”

Franz Doerr, CEO of Flatfair, the rental payments platform, said: “Landlords should not be expected to support the rental market, but that is exactly what has been allowed to happen.”

“Mountains of unpaid rents are piling up at the feet of landlords who can’t do anything about it.”

“The government, therefore, must act urgently to protect the long-term interests of tenants by keeping them out of unavoidable debt while ensuring that landlords are treated fairly.”

“Unlike Scotland and Wales, England has yet to launch a leasing loan scheme, which would provide distressed tenants with a means to cover the cost of their leases.”

“Landlords are quickly getting fed up with the lack of support coming their way, which could ultimately lead to a departure from the buy-to-rent sector.”

“This would also be disastrous for tenants as it depletes the number of most affordable rental properties on the market.”

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