Is the private rental sector working for consumers?

The demographic in the sector is changing; there are now nearly a million more households with dependent children living in the sector than in 2006-07. Our analysis suggests that the private rental sector is far from being the well-functioning sector consumers should expect.

What we’ve found

We undertook a comprehensive look at the experience of consumers in this sector taking into consideration their entire journey, from searching for and securing, to living in and subsequently moving out of, private rented accommodation in England.

Our analysis reveals a number of common challenges which occur across various stages of the renting process:

• Tenants have difficulties accessing necessary information and advice at the different stages of the process. Similarly landlords face a complex regulatory landscape and can struggle to understand their obligations.

• Many landlords and tenants have experienced problems with the service and advice that letting agents provide.

• Many tenants are experiencing poor standards in their accommodation with damp or mould being the most common issue.

• Despite the prevalence of those problems, few tenants choose to complain. One of the reasons being that the current system of redress is confusing and complex.

• Many tenants are worried about having to leave their property before they want to. This is particularly a concern for those with children. We also found that this lack of security is also a barrier for tenants enforcing their rights.

• Many tenants are facing difficulties in getting their security deposit back in full and many have to pay a new security deposit before they have received their previous one back.

• Widespread reform

• With the private rental sector set to continue its growth and play an ever greater role in providing people across society with a home, our report is calling for a comprehensive programme of reform to bring the rental sector up to the standards required in the 21st century.

  Among our proposals, we are calling for all landlords to be registered with the relevant Local Authority, with the details available to the public online.

• This will hold less responsible landlords more accountable to tenants and provide a means for local authorities and government to keep landlords informed about their responsibilities.

• We also believe the government must prioritise strengthening regulation of the letting agent sector, provide a simpler single-access dispute resolution scheme and introduce reforms to increase tenure security.

  Do you support our proposals? What do you think should be done to improve the situation in the sector?