Rent to migrant scheme taking our homes

The Secret Landlord: Landlords Will Embrace Labour’s ‘Rent Homes to Migrants’ Scheme, but Britain Will Pay the Price

The ‘Easy Money’ Arrangement for Buy-to-Let Owners Will Only Exacerbate the Nation’s Housing Crisis

I must confess, the concept of effortless income rather appeals to me. In a country where extracting maximum value from individuals has become standard practice, the prospect of straightforward earnings seems rather like a welcome reprieve.

Hence, upon learning about housing contractor Serco organising an event at a four-star hotel to enlist landlords for a five-year guaranteed rent programme—with all expenses and upkeep included—I found myself wondering: where might I register my interest?

The stipulation, of course: you would be providing accommodation for asylum seekers on behalf of the Home Office.

Yet is this truly a drawback when one can rely upon rent being remitted in full and punctually? Consider also that Serco asserts it will comprehensively manage the property.

Indeed, I may present as an avaricious, exploitative landlord, but I am equally a business person with invoices and taxation to address, alongside properties requiring maintenance.

Any homeowner will appreciate that tradespeople and materials come at considerable expense, so the notion of securing a contract spanning more than five years during which another company assumes responsibility for all maintenance and repair costs appears nothing short of providential.

The hotel gathering was subsequently cancelled following The Telegraph’s coverage of the story. I can only surmise that Serco had been overwhelmed by numerous landlords eagerly offering their properties, rendering the recruitment initiative superfluous.

An element of Serco’s proposition includes their commitment to cover utilities and council tax. At a time when these charges have reached unprecedented levels—comparable to a second mortgage—I remain unacquainted with any landlord who would not readily embrace such an offer.

Whilst seeking the path of least resistance financially may not represent an admirable characteristic, I have grown weary of the arduous, disagreeable burden of being a landlord, not to mention the taxation I am obliged to remit. Thus, I shall welcome any form of relief at present, even if that entails housing asylum seekers.

Nevertheless, I recognise this arrangement is not beneficial for Britain’s overall welfare.

Consecutive governments have already fostered a housing crisis with unparalleled rental prices being demanded for an ever-diminishing stock of available properties. Attempting to gain entry to the property market has invariably involved substantial financial commitment, but nowadays even securing tenancy necessitates an astronomical sum, an impeccably credentialed guarantor, and navigation through a complex series of requirements.

Moreover, the circumstances continue to deteriorate. With the forthcoming Renters’ Rights Bill, increasing numbers of landlords are withdrawing from the market—yet with escalations in stamp duty and prevailing market pessimism, there are fewer and fewer new landlords emerging to fill the void.

The consequence is a constriction in the system. Perhaps it more closely resembles a vessel on the verge of overflowing.

You see, individuals persistently arrive in Britain and people invariably require accommodation. Labour’s pledged 1.5 million new dwellings have yet to materialise, and the deficiency is placing extraordinary pressure on our existing housing stock.

For those landlords who persist in the marketplace, the hazards associated with conducting business intensify daily. The judicial system is in disarray, and protracted proceedings to reclaim possession of a property—often exceeding twelve months—have become the norm. Furthermore, the expenses amount to thousands—tens of thousands, should the tenant cease to pay rent.

The entire predicament is thoroughly unsatisfactory.

Should the Government harbour genuine intentions to address the housing crisis, it would be well-advised to acknowledge the necessity of collaboration with private landlords, rather than introducing yet further regulations that constrain them.

The provision of affordable housing constitutes the foundation for establishing a thriving economy. However, despite the assurances offered by politicians, we continue to face an estimated 1.3 million individuals on social housing waiting lists.

Incorporating asylum seekers into this tally will merely compound the difficulties.

The current approach demonstrates a fundamental misunderstanding of market dynamics. Landlords, operating as commercial entities, will naturally gravitate towards arrangements offering stability and minimal complexity. The Serco proposition represents precisely this—guaranteed income without the customary uncertainties associated with traditional letting.

Yet whilst this arrangement might prove financially advantageous for individual property owners, it simultaneously reduces the available housing stock for domestic residents already confronting significant challenges in securing suitable accommodation. The resulting competition for remaining properties inevitably drives prices upward, creating a vicious cycle of inflated costs and diminished accessibility.

Furthermore, this strategy potentially cultivates geographical concentrations of asylum seekers in areas where property values or rental yields might otherwise be less attractive to landlords, potentially hindering integration efforts and placing additional pressures on local services and infrastructure.

The economic implications extend beyond merely housing concerns. A functioning property market contributes substantially to workforce mobility, allowing individuals to relocate for employment opportunities. When housing becomes prohibitively expensive or simply unavailable, this mobility becomes constrained, potentially impacting productivity and economic growth throughout the country.

What remains particularly frustrating is the absence of a comprehensive, long-term housing strategy that acknowledges the multifaceted nature of the crisis. Whilst discussions frequently centre on construction targets, insufficient attention is directed towards the retention of existing rental stock within the mainstream market.

The relationship between government and private landlords has deteriorated markedly in recent years, characterised by increasing regulatory burdens and diminishing financial incentives. This adversarial approach has proven counterproductive, driving many property owners to seek alternative investment vehicles or, as evidenced here, to pursue guaranteed income streams that potentially exacerbate broader societal challenges.

A more nuanced approach would recognise private landlords as essential contributors to the housing ecosystem, providing necessary accommodation options whilst government initiatives focus on expanding social housing availability and addressing affordability concerns. Instead, current policies risk further constricting supply precisely when demand continues to intensify.

The Serco proposition merely represents a symptom of these broader systemic issues—a predictable market response to an environment where traditional letting has become increasingly fraught with complications and uncertainty. Until policymakers acknowledge and address these fundamental dynamics, we can anticipate further distortions within the housing market, with landlords understandably pursuing self-preservation whilst the broader societal implications remain unaddressed.

Ultimately, sustainable solutions must balance the legitimate concerns of property owners with the fundamental necessity of ensuring adequate, affordable housing for all residents. The current trajectory, however, suggests we remain distant from achieving this crucial equilibrium.

Comment

Are you one of the millions of people who cannot even afford to rent, let alone buy a home?

The war on landlords (the wrong type) began in 2015, with the deregulation act, which caught a lot of landlords unaware who suddenly found themselves unable to use a sct 21 to recover their property.

In that year George Osborne also announce the stamp duty surcharge of 3% for anyone buying a property that was not their primary home, but here’s the insulting part, those able to buy six properties or more in one transaction were exempt!

Over the past decade the war on private landlords has continued forcing many to sell up, and the slack is being taken up by the corporations and housing associations.

Now we are seeing the consequences of their actions, less and less property for rent, resulting demand outstripping supply, which has pushed rents through the roof, at the expense of everyday people.

Now this anti-British party are desperately appealing to landlords to rent their properties to SERCO, who are the main providers of rental homes for both asylum seekers and illegal immigrants. Considering that landlords have such a hard time renting in the traditional manner with an Assured Shorthold Tenancy (AST) they are and will be tempted to rent to SERCO, reducing available rental stock for British people even further! At the same time, Jeremy Hunt all but scrapped the Capital Gains Tax allowance, further discouraging people from renovating the 670,000 empty homes in England alone!

Was this all planned or just a very unlikely coincidence? Who knows!

One thing is for certain, if the masses do not stand against this very soon, there will be no homes for the British people, who are rapidly being pushed out in every sense of the word.