Eviction ban extended until 23rd of August
The ban on eviction has been extended by two months as part of continued emergency coronavirus measures. Landlords will not be permitted to evict a tenant at least until 23 August 2020.
Housing secretary Mr Robert Jenrick said yesterday the government’s plans would benefit “millions of renters”.
All evictions from social, private and commercial landlords save for trespass claims in England and Wales remain suspended until 23 August 2020.
The eviction ban was due to expire on 25 June 2020; however, under the Coronavirus Act 2020, the government has the power to extend the eviction period.
Mr Jenrick said: “Eviction hearings will not be heard in courts until the end of August and no-one will be evicted from their home this summer due to coronavirus,”.
“We are also working with the judiciary on proposals to ensure that when evictions proceedings do recommence, arrangements, including rules, are in place to assist the court in giving appropriate protections for those who have been particularly affected by coronavirus – including those tenants who have been shielding,” he said.
Mr Sasha Charles, the CEO of Landlord Advice UK, one of the leading tenant eviction companies in the UK, said: “Some landlords before the Coronavirus Act 2020 had tenants who had rent arrears on average ranging between 2 to 6 months.”
“It would seem some landlords will nurse tenant rent arrears of 12 months or more before they can expect to regain vacant possession of there property. Most landlords will not be able to recover any of the rent arrears.”
“Should we face a second wave of Coronavirus infections in the winter, what happens then?”
“The eviction ban may well be extended again; we don’t know. We all accept the government must do all it can to prevent the spread of infection, and it is right to do so; this is a priority”.
“However, some landlords will not have the margin to absorb no rental income for 12 months.” He said.
More misery for landlords as eviction ban is extended
Mr Andrew Voller a Brighton landlord said: “I have commercial and residential units, 6 out 9 commercial properties i own the tenants can or won’t pay. With residential property, I have 13 properties and 4 have said they can afford to pay anything.
“They could, may or are already receiving benefit I don’t know, they are saying they can’t pay probably knowing I can’t evict this year.”
I am fuming, the Government has said they are helping renter and landlords. Correct you are helping renters, how are you helping landlords? I will not be able to recover the rent arrears and how am I going to service the mortgages?
The Mortgage holiday is debt deferred, it does not help. If the eviction ban is not lifted by 23rd of August and the courts deal with cases speedy, I will go bankrupt”. He said.
Can the government extend the eviction ban again August?
There are discussions amongst health professionals and scientists going on regarding the second wave of Coronavirus infections. If the second wave comes and if the infection rate accelerates then we have a problem. Possibility of another full-scale lockdown and extension of the eviction ban highly likely too.
The key thing to watch out for is is the R number which refers to the reproduction number as a way of rating the virus’ ability to spread. It’s the number of people that one infected person will pass the virus on to, on average.
The chief medical officer for England, Chris Witty, has said that the second wave of coronavirus could be “more severe” than the first wave, and it could spread more rapidly than before if it arrives in autumn or Winter.
Will landlords get government help with non paying tenants?
Many landlords are facing an uncertain future. Covid-19 has caused some tenants to lose their jobs, meaning, in turn, they may struggle to pay rent.
Besides the mortgage holiday option, some landlords are confused now, as to what financial support they can claim to stop their income from drying up during the Covid-19 pandemic.
The government has launched various financial packages to help businesses, but nothing yet that will help landlords with non-paying renters. We will have to see what further help the chancellor may announce for the buy to let sector.
British Landlords Association
Author: Amanda Goldsmith
7 June 2020