A proposal by the Labour Party to ban rental bidding wars must also encompass letting agents as well as landlords, according to a campaigner from the Renters Reform Coalition.
Tom Darling, the campaign manager of the Renters Reform Coalition, expressed his concerns on his personal X account. “I think this specific issue on bidding wars is mainly the fault of estate agents (and in order to work this [ban] will need to cover them). Having experienced myself in London the way they pit desperate renters against one another is truly disgraceful,” he tweeted.
Darling, a spokesperson for the Coalition—a group of around 20 student and tenant unions and campaign organizations including Generation Rent and Acorn—has previously described himself as an occasional contributor to a “fast-growing network of Labour supporters working in the communications, public affairs and media industry.”
The Coalition’s advocacy appears to have influenced Labour politicians, who have echoed the group’s calls for policy changes.
Last week, Labour deputy leader Angela Rayner supported the ban while expanding on the rental reform agenda outlined in the party’s manifesto. The issue was also addressed by Labour leader Sir Keir Starmer during a BBC One leaders debate. Starmer remarked, “…When you go to get a rented property the landlord just does a bidding war who will pay more…until people are paying through the roof. We have to end that.”
When asked about implementing such a policy, Starmer said, “You can pass legislation to say you can’t do it because it is driving rents through the roof and it’s not fair on people – it’s taking advantage. They say, one person offers X pounds a week, someone else will give you X plus £10, £20, £30. They go back to the first person and say I’ve already had a better offer for X plus this. Will you?”
Following the debate, Darling emphasized on BBC Online that any effective ban would need to regulate estate agents. “In order to be effective [the ban] will need to be coupled with more regulation of estate agents, who often initiate bidding wars, pitting renter against renter, preying on our desperation for a safe, secure home in order to try to squeeze every last bit of profit they can.”
Meanwhile, Propertymark, a body representing estate agents, has called for clarification from Labour on its proposed rental sector reforms. Labour’s goals include making private rental properties energy efficient by 2030, ending Section 21 ‘no fault’ evictions, extending Awaab’s Law to protect renters from damp and mould, allowing tenants to challenge rent increases, and constructing 1.5 million new homes.
A Propertymark report from August 2023 highlighted the need for financial support for landlords to cover the costs of energy efficiency upgrades. Propertymark stated its readiness to engage with the Labour Party if it wins the upcoming General Election.
Tim Thomas, policy and campaigns officer at Propertymark, commented, “Propertymark will work with the next government to improve the private rented sector for landlords, agents, and tenants, and we share any ambition to improve standards over the next parliamentary term. However, while on the one hand, the private rented sector should contribute towards decarbonisation, the sector needs clear clarity on what financial and practical support will be provided to landlords at the first opportunity.”