A new debate has erupted over guarantors in the private rented sector, with 28 organisations—including Shelter and Generation Rent—calling on the Labour government to revise the Renters’ Rights Bill. They argue that excessive guarantor requirements will exclude poorer tenants from accessing housing.

For landlords, however, removing guarantors is a major concern, as they rely on them to cover unpaid rent or damages. Without them, landlords face financial risks and costly legal battles to recover losses.

A proposed solution is for tenant activist groups like Shelter to act as guarantors themselves. With millions in public donations, Shelter could underwrite tenants, offering landlords security while supporting vulnerable renters. However, critics argue that Shelter focuses on politics rather than practical solutions.

Landlords are not social services, and they need ways to mitigate risks, particularly with the government tightening eviction rules. The proposed Renters’ Rights Bill allows landlords to evict with four months’ notice to sell a property, yet tenants can leave with minimal notice, creating an imbalance.

Critics argue that activists push for changes without addressing their consequences, leading to landlords leaving the market. Instead of banning guarantors, a government-backed rent-and-damage scheme could protect both tenants and landlords. However, opponents claim Shelter and similar groups prioritise ideology over real solutions, leaving landlords and tenants to struggle in an increasingly difficult rental market.