A landlords’ association chair has said landlords are ’exiting the market’ following new legislation brought in by government.

The Landlord (Private Housing) Registration Bill 2020 passed through to legislation in July and means it has become a legal requirement for landlords, their representatives and properties to join a register by 2022.

Landlords are being encouraged to join a voluntary registration scheme in preparation for a mandatory register being introduced next year.

The chair of the Isle of Man Landlords’ Association, Alan Burrows, explained that landlords were leaving the market.

Mr Burrows said: ’I’ve had three more saying to me "I’m selling up". All that’s going to do is have the effect of pushing rents up because it’s market forces that determine rental values and if there isn’t any property around then it’s going to push prices up.

’Landlords are leaving because they don’t know what the future holds and property prices are increasing recently, so they’re asking "why do I need the hassle? I can get better returns elsewhere".’

The association has also hit out at the government for lack of communication.

Mr Burrows added: ’We had grave concerns about what they were proposing to do. We had zero engagement from the government, we had to reach out to them and we had several meetings but none of our concerns were addressed.

’We are not against registration. What we’re complaining about is that there has been no dialogue and we don’t know what we’re registering for.

’If you don’t know what you’re registering for then once you’re registered you’re having these unknown conditions thrust upon you - why would you do that?’

The DoI responded to this and told the Isle of Man Examiner: ’Department of Infrastructure officers met the Isle of Man Landlords Association (IoMLA) three times during 2020 to discuss the Landlord Registration (Private Housing) Bill 2020 and the organisation’s concerns.

’The outcome of these discussions led to list of concerns being circulated to all Tynwald Members and acknowledged in an email to the IoMLA on February 4.

’The IoMLA’s contribution was in addition to more than 200 people responding to a public consultation on the topic and 190 providing feedback at drop-in sessions hosted by the housing team last autumn.

’A copy of the amended Bill was sent to the MLA on March 16 ahead of the Bill’s clauses being scrutinised by Tynwald on March 23.

’The Landlord Registration (Private Housing) Bill 2020 completed its passage through the branches of Tynwald in July and aims to raise standards across the rental sector in relation to the management, condition and safety of properties.

’The DoI will continue to engage with the Isle of Man Landlords’ Association, and other interested parties, as the regulations are developed during 2022.’