National Debtline say rental arrears enquiries increase by 84%

Debtline the national charity helpline has experienced an increase of over 84% in enquiries, from people calling for advice on rent arrears.

With the austere measures the Government keeps talking about not even kicking in for a few more months yet and with more people renting now than ever, this a worrying but not unexpected trend said Bristol lettings agents Kevin Cox of igloolets.com

The English Housing Survey published earlier in 2011 showed that the number of people renting in England had increased by around 40% per cent since 2005. With only a lucky few people able to get a mortgage, without having to put up ridiculous sums of money as a deposit, there has been a glut of properties for sale but not many willing buyers, leading to the situation where demand for rental property is outstripping supply and prices are rising very quickly.

Chief Executive of the Money Advice Trust, Joanna Elson OBE, said “It is clear high rent costs are becoming more and more difficult for people to meet. A few years ago many people in today’s rent market would be planning on buying their first home, but now it seems they are struggling to even pay the rent. The chances of these renters being able to save the many thousands needed for a deposit are very slim indeed, which will only increase the demand for rental properties and lengthen the spiral into higher and higher rent costs. On top of those people who call National Debtline with specific problems in affording the rent, there will be even more who are cutting back sharply elsewhere to make sure they can cover rent payments. This in turn can lead to other debt problems, with credit cards, overdrafts and loans being relied upon to pay for food and other essentials. Any UK tenant who is struggling to pay the rent should call National Debtline or visit My Money Steps online to get some free, confidential, independent advice.”

Kevin Cox further added that “With the increased demand for rented property, many Landlord are much less tolerant than they used to be regarding arrears"