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NLA/NFRL merger

Frequently asked questions

Why have the National Landlords Association (NLA) and the National Federation of Residential Landlords (NFRL) merged?

The merger represents the natural coming together of two leading landlord representative bodies. It will ensure the voice of all private-residential landlords is heard more effectively by Government at all levels and the media. In addition, with the larger membership base, better commercial deals can be negotiated with leading providers and the range of other benefits expanded and improved.

Did the two organisations have to merge?

No. The NLA and NFRL did not have to merge. However, both organisations believe the legitimate business interests of landlords are better represented to Government at all levels and other stakeholders, by a single body combining the strengths of the two separate organisations.

Will there be a change of name?

No. The NFRL will become part of the NLA but there is no new organisation. There will be no change of NLA brand or name.

What will be the benefit of merger for members of both organisations?

The merger of the NFRL and NLA will mean a wider range of products and services being made available to members. With the larger membership base, better commercial deals can be negotiated with leading providers. The size of the organisation will also mean a greater ability to influence policy-makers at all levels of central and local government.

I am a member of the NFRL; do I have to rejoin the NLA?

No. All current members of the NFRL will be able to access and receive a generous membership discount when renewal falls due. They will have access to the full range of NLA member benefits and services.

Is there a role for the former NFRL President in the newly enlarged NLA?

Mr Mike Stimpson, former NFRL President, has been offered a role in the expanded organisation which would enable his wide experience and knowledge of the private-rented sector to continue to be available for the good of all landlords. NLA directors would warmly welcome his contribution but have not yet received a reply.

Is there a role for the former NFRL directors within the newly enlarged NLA?

Two of the former NFRL directors have now become NLA directors. The former NFRL Chairman has also become a Vice-Chairman of the NLA. This ensures the views of former NFRL members are heard at the highest level within the new organisation.

Is there a role for the former NFRL staff within the newly enlarged NLA?

Although any period of change can be difficult, the NLA is committed to making all reasonable endeavours to find NFRL staff appropriate roles within the newly enlarged association. NFRL staff wishing to work for the NLA will be very much welcomed and supported through the transition period.

Were NFRL members consulted about the merger within the newly enlarged NLA?

In 2003 the SPLA (later the NFRL) members overwhelmingly voted to authorise their Board to merge with the Small Landlords Association to form the National Landlords Association. For a number of reasons, the merger did not proceed at that time.

On 4 April 2008, the NFRL held a General Meeting, where 94 per cent voted in favour of authorising their Board to begin formal merger negotiations with a national body with similar aims and objectives. The resolution authorised their Board to take such action as it considered necessary to effect a merger if they considered this was in the best interests of its members.

NFRL directors also undertook to consult members should negotiations reach a stage where the Board was minded to proceed. The most recent edition of Successful Renting carried an article by NFRL director, Ruth Kerslake, which asked members their opinions about a proposed merger. Those who took time to respond supported the view of the General Meeting and assured the majority of their directors that the merger was the right course of action.

Did NFRL members vote on the merger?

The resolution giving the NFRL Board authority to proceed was carried by 94 per cent of the votes cast at the General Meeting on 4 April 2008. Proceedings were conducted in accordance with company law and the NFRL Articles of Association. The resolution was, in effect, an affirmation of a similar resolution on merger passed in 2003.

Did NFRL directors have the authority to proceed with the merger?

Throughout the merger proceedings, the SPLA and NLA were being advised by separate legal teams. Advice to the SPLA was that due diligence had been observed and that the SPLA directors had lawful authority to proceed with the merger.

What about the existing arrangements the NFRL has with Alan Boswell Insurance?

NFRL members benefiting from this arrangement will be able to continue to do so.

Are NFRL funds now under the control of the NLA?

NFRL funds will be ring-fenced for the benefit of NFRL members. In due course, detailed accounts will be published highlighting the funds received and how they have been apportioned.

Is NFRL data now under the control of the NLA?

NFRL data will be merged into the NLA database in accordance with data protection legislation.

Were the NFRL directors in full agreement about the merger?

The NLA was not involved in internal NFRL matters. Its role was to respond to queries and nominate two observers, at the invitation of the NFRL Chairman, to attend two NFRL Board meetings. The NFRL directors present at these meetings stated that they sincerely believed the merger with the NLA to be in the interests of their members. They constituted a majority of the Board.

Is it true that NFRL directors were offered financial incentives to proceed with the merger?

No. Directors of the NFRL have not been offered any financial incentives to proceed with the merger.

What happens now?

Understandably, there will now be a period of time for the expandedorganisation to consolidate activity and formulate new strategies and services to support landlords. There may be teething problems and both NLA and NFRL members are asked to be mindful of this when contacting the NLA.

What happens to the NFRL branches?

The thriving branch structure will be developed and extended. Former NFRL branch chairs have been invited to a meeting in the NLA London offices to discuss how best to move forward.

What happens to the NFRL?

Interest in the NFRL receded throughout 2007 and early 2008, resulting in meetings being discontinued. It is unlikely that the NLA will revive the NFRL in its former structure, although some form of national landlord forum will be created to enable landlords’ views on national issues to be discussed.

What if I do not wish to be part of the newly enlarged NLA?

Any former NFRL member who does not wish to be part of the newly enlarged NLA should notify the NLA by e-mailing merger@landlords.org.uk or writing to our London office. After completing the relevant form, the former NFRL member will receive a pro-rata refund of their existing NFRL membership fee calculated from the notification date to the NLA to the next renewal date.

If I apply for a pro-rata refund for my NFRL membership, does it affect the commercial discounts I have received for current products and services?

Any discounts received for current products and services – for example, insurance – may be repayable upon demand. Also you would no longer be covered by Tax Investigation Insurance.

What if members of the former NFRL or the NLA have questions about the merger?

Members of the former NFRL or the NLA with questions about the merger should contact: merger@landlords.org.uk

 

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