Britain intends to develop the private rental sector of real estate

The current generation of young citizens of the United Kingdom called “generation of renters” . For a number of objective economic reasons many of these people will never become the owners of their own house or apartment in the UK, and will remain tenants.

Meanwhile, the Confederation of Industrialists of Britain is doing everything possible to get more people in the UK could receive affordable and quality housing and encourages investors to develop sectors of the rent.

By 2018, nearly one in five Briton will live in the private rental sector. In order to meet the growing rental demand, it will take £57 billion of investment funds per year by 2016.

Among the measures proposed by the group of Industrialists, called the measure on reducing VAT on repair and rehabilitation work to reduce cost.

The private sector rent is developing, but if you compare it with other areas of real estate, it is clear the share of this market is small and is not more than 1 % of the total market.

Presence of of homes for lease to their employees could be crucial in attracting and retaining staff at the same time that would solve several problems at once. In particular, the private rental sector contributes to the development of the economy, but requires a wider range of institutional investment. A reduction in VAT for repair and restoration works can really solve the problem of investment sector of the lease. Another measure designed to help in the advancement of the sector of the rent should be well-coordinated work of Federal and local authorities, aimed at planning socially important areas. The government should also closely liaise with the regional industry entrepreneurship to develop various financing schemes and development of state lands for the so important social needs.

The number of people in the UK living in the private rental sector will continue to grow due to a growing imbalance of supply and demand and, consequently, rising prices for housing. To create affordable living conditions for these people to make a valuable contribution to the solution of the housing problem in the UK and to solve some economic problems.

® Eleantra. 20.01.2014 g.

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