1. Conservative Government’s Approach:
   • Nearly a decade of shrinking tax relief for landlords under the Conservative government has led to financial pressures.
   • Threats of expensive regulation, such as the Renters Reform Bill, have further tightened the freedoms landlords have over their properties.
   • Concerns about lengthy court processes, especially with the potential abolition of Section 21 ‘no-fault’ evictions, and the introduction of rolling contracts, are causing uncertainty among landlords.
   • The number of new landlords instructing estate agents has been in negative territory since 2021.
2. Labour Party’s Perspective:
   • Labour’s review of the rental sector is expected to be published soon, and the party’s shadow housing minister, Matthew Pennycook, has proposed amendments to the Renters Reform Bill.
   • Labour aims to ban no-fault evictions immediately, even if the courts are not prepared, and wants to close loopholes in the bill, such as increasing controls over rent increases and toughening penalties for non-compliance.
   • Labour also wants to introduce tighter rules for landlords, such as delaying their ability to claim intention to sell or move in with a family member for at least two years of a tenancy and imposing a “hardship test” for eviction grounds.
3. Proposed Amendments to the Renters Reform Bill:
   • Labour proposes amendments to contest rent increases and ensure tenants have the right to bring their pets with them.
   • Additionally, Labour wants landlords to upgrade properties’ energy efficiency to at least an EPC rating of C by 2028, with a maximum expenditure of £10,000.

Overall, the potential changes outlined by both the Conservative and Labour parties could significantly impact the rental sector, with landlords facing increased regulation, tighter rules, and financial pressures.