Private landlords should play a greater role in overcoming problems caused by the credit crunch, a Scottish minister claimed yesterday.
Housing Minister Stewart Maxwell said the Scottish Government wanted to work with the sector to ensure the right houses are provided in the right place.
He said that will only happen if there is a genuine commitment to improve letting standards.
Speaking at a conference in Edinburgh organised by the homelessness and housing charity Shelter Scotland, he said the downturn in global financial markets and the credit crunch was causing turbulence in the housing market.
“Last week the first minister set out our vision for the housing market in this changing economic climate,” he said.
“In this context, our ambitions for the private rented sector to play a greater role in meeting housing need have become even more sharply focussed.”
He highlighted “achievements” in the last year to regulate the sector, including the National Landlord Accreditation scheme and the introduction of the Repairing Standard advice pack.
“The Scottish Government believes that this sector can make a greater contribution to accommodate those in need of housing,” Mr Maxwell said.
“This will only happen where there is a genuine spirit of partnership between national and local government and landlords, and a commitment from the sector to continue to drive up standards in letting practice. I certainly believe this is achievable."
Mr Maxwell also set out the main objectives of the government’s review of private rented housing.
As well as ensuring that the sector is capable of delivering the right types of housing in the right places it will also examine a range of options for increasing supply of rented housing for low income and homeless households.
It will promote greater co-operation between local authorities and pri- vate landlords, and assess current trends, while sur- veys will be used to deter- mine the views and aspirations of both landlords and tenants.
The Scottish Federation of Housing Associations expressed concerns about the government’s policy however.
Chief executive Jacqui Watt said while there may be a “limited role” for the private sector, the association was concerned that councils will discharge their responsibilities to the homeless by issuing short assured tenancies.
“Of all homelessness 15% is caused by a short or finite tenancy coming to an end, and we fail to see how this move will tackle the vicious circle of homelessness,” she said.
“Although we welcome the efforts made to drive up standards in the private sector, we still have reservations about the quality of property and housing management that former homeless tenants will receive under these proposals.
“We see the longer-term solution to homelessness lying with the provision of more affordable rented housing, through construction and by ending the right-to-buy.”