Industry voices have offered support for Government plans to boost the private rental sector and tackle affordability in the market, Housing Minister Alok Sharma announced today. Build to Rent homes are built at scale for the primary purpose of being rented long-term, they can boost choice and quality in the private rented sector.
Across England the sector is expanding, with 80,855 homes either completed or planned. The industry estimates investment in the private rented sector could grow to £70bn by 2022. This could provide a further 15,000 homes each year – with the potential to reach at least 240,000 homes built specifically for private rent – by 2030.
The Minister confirmed widespread support for its proposals to open up the choice of rental properties on the market to help those currently priced out.
The measures include:
- Changing planning rules so councils proactively plan for more Build to Rent homes where there is need
- Making it easier for private rental developers to offer affordable rents in place of other types of affordable home
- Introducing longer tenancies which are more family-friendly to provide better security for renters – Government action in this area has already seen the offer of three year or longer tenancies being made available to 35,000 tenants across the country according to British Property Federation estimates
Housing and Planning Minister Alok Sharma said: “Whether renting or owning all families should have the security they need to be able to plan for the future.
“That’s why as part of our plan to fix the broken housing market we’ve been taking action to create a bigger and better private rental market, supporting new Build to Rent developments so that tenants can have greater choice.
“Build to Rent developments are a great example of doing just that, boosting the choice and quality of homes on the market – meeting the needs of renters in cities and towns across England.”
The British Property Federation and RICS have welcomed the plans to boost Build to Rent and introduce affordable private rent.
Melanie Leech, chief executive at the British Property Federation, said: “We welcome the government’s continued support for the Build to Rent sector. We fully support the introduction of affordable private rent, and the inclusion of Build to Rent and affordable private rent within the NPPF and Planning Practice Guidance.
“A multi-tenure approach where all housing sectors receive the right policy support is critical to fixing the UK’s broken housing market.”
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