There were warnings that this month’s ban on rip-off tenant fees would result in rents being pushed up – and now Guardian Money can reveal this is already starting to happen.
Just two weeks after the ban came into force, a north London lettings agent has started telling its landlords to raise all future rents by £20 a month to offset the new costs they face. And it is unlikely to be alone in proposing such a measure.
The move, which was this week branded by one landlord as “not in the spirit of the law”, had been predicted by some commentators, though few thought it would happen this quickly.
Letting agent body Arla Propertymark warned in May that rents would rise by £103 a year as agents and landlords sought to recoup lost revenue. It now expects other agents to quickly follow suit, it said this week.