According to Sweet & Maxwell, a leading legal information provider, tenant
evictions are up by 9% since last year. By the end of June 2012, 33,199
landlords had successfully repossessed properties. This figure had risen to
36,177 by the end of June of the current year.
Possible Reasons for Jump in Tenant Evictions
The most likely explanation for a rise in tenant evictions is the government
cuts in welfare payments. Many tenants are now struggling to pay the rent
since the highly criticised ‘bedroom tax’ was introduced. Tenants in receipt
of Housing Benefit have seen their payments slashed if they are deemed to have
a spare bedroom. Because of this, a lot of tenants are finding it hard to make
ends meet.
Soaring Rents and Rising Demand
Another possible reason for the rise in landlord repossessions is the rise in
rents on rental property in the residential sector. Demand for rental property
has soared in the last few years, particularly in London and the South East.
Landlords are no longer prepared to put up with tenants who fail to pay the
rent on time and so they waste no time in evicting them.
Falling Wages
The real value of wages has been falling for a number of years. This affects
low earners the most, so when you look at this trend in conjunction with the
rising rents, it is disastrous for families on the breadline.
Property Repossessions
Landlords can apply for a repossession order from the County Court when a
tenant defaults on the rent. However, they are legally obliged to give notice
to their tenant before doing so.
