Meet the Speakers: Theresa Wallace on affordability and the impact of the new Renters' Rights Bill
With over 30 years' experience in the lettings industry, Savills Compliance Director and chair of The Lettings Industry Council, Theresa Wallace is one of the expert speakers at our 2024 NRLA Landlord Conference. She talks to Sanjeev Shetty about the potential impact of new legislation and the ongoing challenges facing the sector.
“Quite simply, we’re going to lose more landlords,” Theresa Wallace tells me when I ask her about the new Renters’ Rights Bill.
That is a prevailing sentiment among leading voices in the Private Rented Sector (PRS) and Theresa is certainly one of those.
Theresa began her journey in 1991 when - while renting out a property when her own house was being renovated - she realised the potential of the PRS
Theresa founded her own property company in Sevenoaks, Kent before selling up and joining lettings and estate agency Savills in 2002. Starting out heading up the lettings department for the south and southeast she's worked across the company, working her way up to the role of compliance director.
Disappointing
“There are no surprises, really", she said. "Everything that’s in there we were expecting, although I do think there's been a bit of a compromise between what the tenant groups want and what landlords want as far as serving notice goes.”
“I'd like to see a few tweaks. I think the proposal allowing tenants to hit three months of rent arrears before landlords can serve four weeks notice is very disappointing.
"I believe the Government is introducing this to help people who have found themselves in financial difficulties, who want to find a solution, but maybe just need a little time. Sadly, in my experience these are not the people causing issues, it's the minority of tenants who have no intention of paying full stop. As the proposals stand the legislation will make it easier for them to do this for longer."
Court reform
Theresa believes the new legislation,as it stands, could see the courts become overwhelmed, in the same way they were in Scotland. “I'd like to see specialist housing courts, with specialist judges to deal with issues, which would benefit both landlords and tenants,” she adds. “Anecdotally the smaller landlords I know, those with one or two properties, are already planning to sell. If this pattern is reflected across the sector we are going to have a huge issue with supply."
These supply issues, she says, are compounded by a lack of homes in the social sector, adding: "Ultimately, we don't have enough social housing, with over a million tenants in the PRS receiving housing benefit or Universal Credit.
"The majority of those shouldn't be in the private sector, they should be in social housing and if you had those million extra social homes you wouldn't have rent pressures we are seeing, you wouldn't have a shortage of properties, but these can't be created overnight.”
More information
Theresa who, alongside NRLA CEO Ben Beadle met with Housing Minister Matthew Pennycook this month to discuss the Bill and make representations on behalf of the sector, will take part in a panel discussion on rental reform and affordability at the NRLA Landlord Conference on 6 November.
The event will be hosted by TV's Nick Knowles with a keynote speech from former Dragon's Den star James Caan. There will also be talks and panel discussions featuring a range of industry experts as well as networking opportunities and more. Click here to reserve your ticket.
