A wealthy landlord Mr Wilson who owns a large portfolio of properties was recently reported to have refused to rent them to single mothers, coloured people because of the curry smell. Mr Wilson is now charging tenants he has approved higher rent. Mr Wilson increased the rents to his tenants by £50 a month within half an hour of the Bank of England’s 0.25% interest rate rise. Mr Wilson stated it was fair because when interest rates fell he cut the rent and was simply keeping pace with it.
But Wilson’s rent hike was closer to a 5% increase for those paying rent of £1,000 a month and 6.7% if they paid £750. Mr Wilson said he was ‘merely passing on to the tenant’ the additional charge. ‘Following the interest rate rise I have increased rents in all our properties by £50 per month,’ he said. ‘It is merely passing onto the tenant the additional mortgage charge. ‘This increase starts immediately.’
Mr Wilson said about 400 of tenancies would be effected by the rent increase. adding: ‘I’ve done it simply because the Bank of England put its interest rates up – all I’m doing is keeping pace with them. ‘When interest rates went down we actually put it down £50. ‘If it goes down again, we would then put the rent down again.
Miss Tracy Hackett-Jones from the British Landlords Association said “we do not know anymore other than what has been reported generally in the media. We cannot make any comments on Mr Wilson case. However for assured shorthold tenancies provided they are periodic tenancies than you can increase the rent by serving the correct notice on the tenant and the rent increase comes into play after at least one months advance notice.