Specialist Magazine has shown PM had wrong information

24 February 2012 Categories: News

During a question time session on the 11th January this year, Prime Minister David Cameron told the House of Commons that private rents were coming down as a result of the recent LHA reforms. This however has now been proven by the specialist magazine ‘Inside Housing’ to be untrue in the vast majority of cases.

After hearing the claims of the PM, Inside Housing used the Freedom of Information act to ask every council in England about any changes in rental amounts that were specifically due to LHA payments now being paid directly to the landlord and not the tenant. If Mr Cameron’s claim was true then the figures would indeed show that private landlords were willing to reduce rents in return for a direct payment.

Of the councils approached, 204 replied to the information request and of those 204 only 36 reported that some landlords in the area had reduced their rents in return for a direct LHA payment.

It seems then that most landlords in England are happy to lose their current LHA tenants and re-let their properties to non-LHA tenants for the full market price – simply because they know they can in an era of increasingly high property demand.

Where this leaves LHA tenants remains to be seen but with regards to the Prime Minister’s mistake, Labour’s shadow housing minister Jack Dromey is eager to raise the question in Parliament as soon as possible.