Ring-fenced fund needed to tackle problem of empty homes, says Assembly Committee

Published 22/03/2011   |   Last Updated 14/07/2014

Ring-fenced fund needed to tackle problem of empty homes, says Assembly committee

22 March 2011

The Welsh Government should set up a fund that local authorities can lend to landlords to bring empty properties back into use, according to a new report from the National Assembly for Wales’s Communities and Culture Committee.

The report from the cross-party group of AMs states that the loans could come with conditions; for example that housing brought back into use with a loan is used for the socially vulnerable.

It says this system would be cheaper and more sustainable than building new houses, would help local businesses and fulfil wider community objectives.

The report, which looks at all aspects of the private rented sector in Wales, also highlights the need for better regulation of landlords and letting agencies.

It recommends that the Welsh Government continues to promote (and make more attractive) Landlord Accreditation Wales – which requires landlords to adhere to a code of conduct and attend professional development training.  

It also highlights concern at some tenants’ perceived lack of security of tenure and suggests that more is done to make tenants aware of their rights when renting a property.

The promotion and development of Social Letting Agency Schemes and Private Leasing Schemes by local authorities are further recommendations of the report.

Committee Chair, Sandy Mewies AM, said: “Despite not being an area that has drawn an awful lot of attention, the private rented sector is one that plays a critical role in meeting the housing need in Wales.

“Our inquiry highlighted a number of areas where the sector could be improved, to deliver better housing and better management standards.

“We heard a number of innovative ideas around how the sector could help address community objectives while still offering a profitable business for landlords; such as a recyclable fund which would enable developers to bring empty properties back into use.

“We are pleased that the Government has responded quickly and positively to our report and we hope our recommendations are taken forward to shape the future of this important sector.”

The report will be launched at the Chartered Institute of Housing’s (CIH) conference on Tuesday 22 March.

Director of CIH Cymru, Keith Edwards, said: “CIH Cymru welcomes this report which puts a spotlight on the vital role that the private rented sector will play in Wales’s housing system going forward.

“We strongly endorse the report’s recommendations, which seek to improve the quality of homes and standard of management in this sector and provide some innovative and practical proposals for bringing empty homes back in to use.

“We look forward to working with Government to support the housing sector in developing a thriving high quality Welsh private rented sector for the future.”