Renters’ Rights Bill
Many of you will have heard or read about the changes the Government is implementing under the new Renters’ Rights Bill. Much of the press and industry commentary reads in a negative way but although the new legislation will mean many changes, we believe the changes represent a shift toward a more balanced market, where both tenants’ protections and landlords’ responsibilities are clearly defined.
For us as agents, we feel this is an opportunity to lead with professionalism, clarity and trust.
When?
The Government formally introduced the Renters’ Rights Bill to Parliament on 11th September 2024. This replaced the Renters’ Reform Bill planned by the previous Government and has many similarities. The second reading took place on 9th October 2024, where MPs debated the detail and gave a positive response to the Bill as a whole.
The Bill continued its journey through Parliament and is now going through to committee stage in the House of Lords. Amendments may still be implemented, and we will soon learn what will be included in the final legislation. We expect the Bill to be passed soon, and it is likely to become law later this year, possibly early autumn.
This is what we know so far, which is still subject to change, but likely to be pretty similar.
Term
Assured Shorthold Tenancies will all become Assured Tenancies on a monthly periodic basis. Therefore, tenants and landlords cannot fix the contract for set time periods. We often currently see one or two-year fixed terms but these will no longer be permitted. This increases flexibility for landlords and tenants, should their circumstances change unexpectedly.
Regaining Possession
The process of regaining possession is being updated with the removal of no-fault evictions via Section 21 notices. All notices will be implemented under Section 8 of the Housing Act, which is being expanded to allow landlords to regain possession under more circumstances.
For example, a landlord or a close family member wanting to live in the property, landlord needing possession for selling, estate owners needing possession for staff members and Ministers of Religion needing to live at the property when owned by a religious organisation etc. are all provided for, as legitimate reasons within the proposals. In addition to this are clauses on shorter notice periods for rent arrears, anti-social behaviour etc.
Notice Length
The notice period is doubling from two months to four months in most instances. In practice many of our landlords already like to give as much notice as possible if they are asking their tenants to leave.
Minimum Housing Standards
The Bill aims to standardise a national Decent Homes Standard for the private rental sector, focusing on energy efficiency, safety and general living conditions. This ensures good quality housing, which all responsible landlords wish to provide.
Rent Increases
There will be new processes for increasing rents. Landlords may only raise rent once per year and increases will need to be to market value, justified and based on clear evidence. Tenants will have the right to appeal through a tribunal.
In Summary
The majority of the content of the Renters’ Rights Bill is already practised by many professional landlords and the changes won’t have an enormous impact.
At Hayman-Joyce, our role isn’t just about property, it’s about people. We are proactive, informed and adaptable. We have consistently led with the largest market share in the North Cotswolds for years and continue to grow the team and number of landlords we act for by consistently delivering value and raising the bar in an ever-changing landscape.
Our expanding team of qualified, knowledgeable letting experts is led by Adam Sambell MARLA, Emma Cattell MARLA and Sue Maaz FARLA with a wider team in support.
We would love to hear from you and will be pleased to welcome you or an in-person meeting, video or telephone call.
lettings@haymanjoyce.co.uk
Telephone: 01608 653606
WhatsApp: 07747 505101
