Housing Solicitors

The London Borough of Islington (LBI) has launched its own initiative to help struggling renters in the borough, with a not-for-profit lettings agency which will not charge prospective tenants fees – and aims to offer rents below the market average for around half the properties it will let.

Local publisher the Islington Tribune reports that the new agency Islington Lettings will manage homes in the private rental sector without charging tenants for administration costs.

Private lettings agencies can charge thousands of pounds to prospective tenants for simply finding a property for them.

The service initially will focus on housing families in temporary accommodation – it is estimated there are 1,000 homes available in Islington which could be used.

At the launch event at the end of March, around two dozen private sector landlords attended, after the council promised to guarantee six months’ rent upfront.

LBI will also cover any rent arrears in return for a rent which does not exceed the local housing allowance. The arrangement will ensure the council will not have to resort to its temporary accommodation budget, which covers the shortfall between private sector rents and benefit payments tenants receive.

The council current budget for temporary accommodation stands at £2.1 million.

Last year, the council also announced it would be buying back former council homes sold under Right to Buy when they came to the market at an affordable price. The council has set aside £8m for this purpose. Other local councils in London have since followed this policy.

Islington Lettings is hoping that in its first year of operation, it will have a portfolio of around 100 homes to rent.

The agency has cost £20,000 to set up and it is expected to run at no cost to the taxpayer within two years, as a result of a small profit made from the rents charged and savings in the temporary accommodation budget.

Renters’ group Islington Private Tenants has welcomed the council’s initiative – but added that the council would need to sign up more landlords for the agency to make “a genuine difference”.

Spokesman for Islington Private Tenants, Eben Marks, said:

“This scheme will need to involve many more properties and be proactive in improving quality of homes to really make a difference for renters in Islington.”

Islington is one of the inner London boroughs which was traditionally a working class community – but where property prices in recent years have escalated.

Boroughs surrounding Islington – such as Hackney in east London – have also seen property prices rise beyond the reach of families and low- to middle- income workers, as the areas are redeveloped.

In recent years, student accommodation blocks have also replaced established public sector housing estates in central Islington.

LBI’s housing chief Councillor James Murray said:

“We want to develop this not-for-profit agency to help tenants in Islington.

“We can make sure that tenants get good service – and we can bring rents down so people can afford it and people will be able to stay in the borough.”

Duncan Lewis Housing Solicitors

Duncan Lewis is one of the UK’s leading firms of Legal Aid housing solicitors, able to advise public sector tenants and private sector rental tenants on a wide range of housing matters, including:

• Disrepair of rental property
• Housing Benefit
• Housing possession
• Landlord & Tenant disputes
• Sector 146 Notices (notice to quit)
• Unlawful eviction.

Duncan Lewis housing solicitors are also able to advise private sector landlords on a wide range of landlord and tenant matters, including obligations to repair and tenant eviction.

For expert legal advice on housing law, call Duncan Lewis housing solicitors on 020 7923 4020.