News
Happy New Year - What's in store for 2023?!
Wednesday 4th January 2023
Credit to DWK
Happy New Year and welcome back to yet another full year ahead of industry curve balls and ever changing legislation; but that's why you look to instruct your local 'finger on the pulse' letting agent to keep you updated.
Just a short summary of what is in store for 2023, as I know many of you will have plenty of questions:
Renters Reform Bill - Scrapping Section 21 Notices
This is still a proposal, nothing more, nothing less.
The only thing we have seen is a white paper, outlining the Governments intentions, which to be brutally honest, can be questioned on many fronts.
In my humble opinion, this is still four to five years away, without taking into consideration a General Election which will have to take place by January 2025. So, if you are wondering what the likely time line for implementation may be, then I would say with reasonable confidence that nothing is happening this side of 2025.
Energy Minimum Rating - C or above
There is nothing major actually in motion on this subject. The cost of getting to C or above for residential property, will be colossal. At this stage, nothing is set in stone, but it would be beneficial for a landlord to spend money getting a property to the highest possible rating, as it will make the property more attractive to current and new tenants.
Fire Safety Regulation 2022
A minor part of the new regulations will come into effect for some landlords on 23rd January 2023. This in most cases will be ensuring occupiers have sufficient information about fire safety, and the processes to undertake in the event of a fire. With Phase Two of the Grenfell Tower Inquiry now finished, we are awaiting the final report, which may conclude that more work needs to be undertake in relation to fire safety.
Energy Price Guarantee
This will increase from the current £2500 to £3000 from 1st April 2023, which means the typical household, should not pay more than this amount in 2023/24 (if they are using average consumption in an average sized house). Please be aware that that Energy Price Guarantee will end on 31st March 2024, and we will then revert back to the originally used OFGEM price cap. This is currently running at £4279 per annum which in theory is the true cost of supplying us with fuel. (so, the Government are subsiding our use currently)
Landlord Taxation
From 2024, all landlords with an income of more than £10k (before deductions) will need to submit all their tax returns quarterly and online. This is all part of the Governments Making Tax Digital policy. In addition, Landlords allowance for Capital Gains when selling, will be reduced from 12k to £6k this year, and then to £3k from 2024.
Property Licensing
This is becoming more extensive, as councils appear to be seeing this as an easy win for tracking landlords and property condition. Don't therefore be surprised if your area launches selective licensing shortly.
Council updates on licensing:
Gedling (Nottinghamshire) - Selective Licensing 1st November 2022 - 5 years
Haringey (London) - Selective Licensing 1st November 2022 - 5 Years
Ealing (London) - Selective Licensing 3rd January 2023 - 5 Years
Newham (London) - Selective Licencing June 2023 - 5 Years
Consultations
Coventry (article 4, HMOs) and Manchester (selective)
There should be no surprises in this update for the year ahead, much has already been circulated and publicised for many months, even years prior
For those landlords out there who are not currently utilising the services of a good knowledgable agent; speak to Affinity today. covering Milton Keynes and all surrounding areas