Renters' Rights Bill
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Please note that the contents of this page, as well as the details of the Renters' Rights Bill, are still under review and we will continue to keep our information up to date as and when new guidance is released. If you are interested in our take on the bill and how it might affect the private rental sector for both landlords and tenants, please refer to our Guidance page within our Renters' Rights Hub.

What is the Renters Rights Bill, and why was it introduced?

The Renters Rights Bill aims to create a fairer rental market by improving tenant security and rights while balancing responsibilities for landlords. It focuses on key elements like removing Section 21 evictions and banning rental bidding.

What changes are being made to rental arrears eviction processes?

The threshold for starting eviction proceedings due to rent arrears will increase from two months to three months, giving tenants more time to resolve financial issues. However, this could delay landlords’ ability to address significant arrears, as well as increase the tenants' debt by the time court action takes place.

What is the government’s reasoning behind banning rental bidding, and will it lead to higher advertised rents?

The government aims to prevent tenants from being priced out of properties through bidding wars and to ensure greater transparency by requiring landlords to advertise fixed rental prices. It’s likely that advertised rents will rise, as landlords may list properties at higher prices to avoid missing out on market value. This could result in tenants facing less flexibility in negotiating rents.

How will the new legislation handle tenants causing anti-social behaviour?

Landlords will still be able to use Section 8 eviction notices for anti-social behaviour. The process may require evidence and court proceedings, but the intention is to balance tenant protection with the ability for landlords to act in such cases.

How will the changes affect tenants without guarantors or established credit histories?

Without the flexibility of advance rent payments, tenants without guarantors or strong credit may find it harder to secure rentals. Professional guarantor services might become more widely used, though these add costs for tenants.

Will these reforms result in fewer properties available for private rent?

Some landlords may exit the market due to increased regulations, potentially reducing supply. However, the government believes the reforms will create a more balanced market over time, improving conditions for tenants.

What is the government doing to prevent landlords from leaving the rental market due to these changes?

The government plans to work with landlords to ensure the reforms are implemented fairly and has committed to improving the legal framework to address landlord concerns, such as streamlining eviction processes.

How will the removal of Section 21 affect landlords’ ability to regain possession of their property?

Landlords will no longer be able to evict tenants without providing a valid reason. However, they can still reclaim their property for reasons such as rent arrears or breaches of contract, property sales, or moving back in, so there are still plenty of circumstances under which a property can be repossessed.

How does the introduction of the Decent Homes Standard impact landlords’ responsibilities?

The Decent Homes Standard was an initiative focussing on social homes, which is now looking at being applied to the private rental sector. Landlords must ensure their properties meet higher living standards, covering safety, repairs, and energy efficiency. Non-compliance could result in penalties, increasing maintenance costs for some landlords.

How will no minimum term contracts affect landlords and the student rental market?

The removal of fixed terms may make landlords hesitant to negotiate improvements to properties (such as providing or removing furniture), as they won’t have assurance of tenant stability. This could especially disrupt the student rental market, where fixed terms align with academic years. Landlords may avoid student tenants due to concerns over shorter stays, potentially reducing housing options for this group.

What support will be available for landlords facing longer eviction processes?

The government has pledged to improve the court system to streamline eviction cases, including introducing a dedicated housing court and prioritising urgent cases like anti-social behaviour or significant arrears.

What are the benefits of these changes for tenants?

The Renters Rights Bill proposes to offer significant benefits for tenants by improving their security, rights, and the quality of their homes. Indefinite tenancies protect tenants from sudden evictions, ensuring stability and long-term housing security. The introduction of the Decent Homes Standard means rental properties must be safe, well-maintained, and free of major hazards. Changes like banning rental bidding and ensuring fair rent reviews intend to make the market more transparent and equitable, although whether all side effects have been carefully considered remains to be seen.

How will rent review processes change under the new rules?

Under the new rules, landlords must provide tenants with two months' notice for rent increases, doubling the previous one-month requirement. However, rent increases were already limited to once every 12 months. Due to the shift to periodic tenancies, landlords are likely to implement annual rent reviews as standard, aligning them with current market rents. This could result in a steady increase in rental prices, as each review will be influenced by rising advertised rents rather than long-term, fixed-term agreements.

When will the Renters Rights Bill officially become law, and what is the timeline for implementation?

The timeline is still uncertain, as the bill is undergoing parliamentary approval. Once passed, implementation will likely be staggered over months to allow landlords and tenants time to adapt.

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