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Landlord Insider
On the Landlord Insider blog, you’ll find some excellent resources for landlords of all sizes. From the latest landlord news, to professional advice, tips and guides for landlords, there’s something for everyone. Brought to you by the excellent team behind the Landlord Vision property management software.

NLA Attends ‘Tenants on Benefits’ Round-table Discussion

computer on a round table with blog title: NLA attends tenants on benefits round table discussion.

The issue of ‘no DSS’ tenants is a divisive one that has attracted the attention of the Minister for Housing and Homelessness, Heather Wheeler. Ms Wheeler recently chaired a round-table meeting with members of the National Landlords Association to discuss this very matter.

The NLA wanted to make it clear to the government. They believe the main reason landlords are reluctant to let properties to tenants on benefits is because the Local Housing Allowance rate is insufficient to cover real market rents, which are underestimated in many cases. This causes some landlords to refuse DSS tenants because of a perceived lack of affordability.

Fergus Wilson Bans Tenants on Benefits

There are plenty of landlords out there who refuse to let properties to tenants claiming benefits. Britain’s biggest landlord, Fergus Wilson, is one of them. He’s very outspoken in his views and has said many times he won’t allow DSS tenants in his properties.

Wilson is not alone. Many landlords worry – rightly or wrongly – that tenants on benefits will default on the rent and cause them problems. This makes it very difficult for poorer members of society to find suitable accommodation. They are then at the mercy of rogue landlords who charge less but provide sub-standard housing.

Mortgage Lenders Say No to Benefits Tenants

It can’t all be dropped at the feet of landlords. A Work and Pensions Select Committee inquiry found that many mortgage lenders include restrictive clauses in their terms and conditions, which prevent landlords from renting properties to tenants claiming benefits. Since the findings of the inquiry, some lenders have confirmed that these onerous restrictions have been removed.

Affordability Issues for Benefit Tenants

Of course, landlords are perfectly within their rights to refuse a tenant on the basis of affordability, whether they are claiming benefits or not. But the NLA says landlords should assess each individual case on its merits rather than issuing a blanket ban in the manner of Fergus Wilson. Property websites Rightmove and Zoopla have also followed suit; both of them now recommend that landlords follow NLA guidance on the matter.

The NLA says landlords should look closely at each individual case. Not all tenants rely solely on benefits. Some have other income or families willing to help them out. Look at the individual’s circumstances in detail before refusing to offer them a tenancy agreement.

Do you accept tenants on benefits? Tell us more about your experiences, either in the comments below or via social media. We’d love to hear from you!

Read More Like This

Government Wants to Ban No DSS Notices

Zoopla Bans ‘No DSS’ in Rental Adverts

Universal Credit is Failing Landlords and Tenants


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