NLA warning over dwindling support for UK’s flagship Green Deal initiative

The National Landlords Association (NLA) has warned of an arc of disillusion amongst UK landlords which threatens the chances of the government’s flagship Green Deal succeeding in the private rented sector.

Recent NLA research has found that landlords are changing their minds about taking up the Green Deal, increasing the doubts that it will be successful.

In the first quarter of 2011 the NLA Landlord Panel Survey found nearly two thirds of landlords said they would definitely take up the Green Deal or were seriously considering doing so.

However, the survey covering the second quarter of 2013 has found that this had fallen to 37%, while the number saying they would not, has overtaken those who would, increasing up to 43%.

The number saying that they were definitely planning to take up the Green Deal has dropped from one in four to one in 10 in the past two years.

Those saying they were not planning to take up the Green Deal gave several reasons why not. Some 56% said that they doubted their tenants would agree to the loan, 47% said their properties were already energy efficient, 24% were worried that the Green Deal loan would reduce the value of the property when they came to sell and 10% said that they did not understand the scheme.

‘The NLA has supported the Green Deal throughout because it is the first energy efficiency policy that has been designed with a real appreciation of the private rented sector. That’s why landlords were initially so receptive to the idea,’ said NLA chief executive officer Richard Lambert.

‘But we now see an arc of disillusion in landlords’ changing view of the Green Deal which could undermine the whole initiative. I still believe that we can make the Green Deal a success, but that requires everyone to face up to the reality of the impact the delays and problems of the past year have had and make a concerted effort to turn things around,’ he explained.

‘We need successful completed projects to prove it works. They will only happen if the legal and financial framework is clear, straightforward and makes the money available,’ he added.