The Renters Rights Bill has obviously been in the pipeline for a while in various forms, but it has now received its first reading in the House of Commons.
The Bill promises a radical reform of many aspects of residential landlord and tenant law.
For landlords
Most significant for landlords are likely to be the proposals about:
- the abolishing of s.21 no fault evictions. And all assured tenancies will be periodic. These changes are intended to come in in one stage.
- creating a Private Rented Sector Database to help landlords.
- ending the practice of rental bidding by prohibiting landlords and agents from asking for or accepting offers above the advertised rent.
- strengthening local authority enforcement.
- strengthening rent repayment orders by extending them to superior landlords, doubling the maximum penalty and ensuring repeat offenders have to repay the maximum amount.
For tenants
The proposed changes most likely to benefit tenants are:
- introducing new safeguards, giving tenants more time to find a home if evicted. This includes increasing the notice periods – so for example it is proposed that the mandatory threshold for eviction be increased from 2 to 3 months’ arrears and the notice period increased from 2 weeks to 4.
- providing stronger protections against excessive above-market rents.
- introducing a new Private Rented Sector Landlord Ombudsman, who will have the power to award financial compensation.
- setting clear expectations about the timeframes within which landlords in the private rented sector must take action to make homes safe where they contain serious hazards – this would be the implementation of “Awaab’s Law”.
The full text of the Renters' Rights Bill, in its current form, is on parliament’s website. It is a 226 page document.
If you would like advice on landlord and tenant law as it currently stands, or on how the proposed changes might affect you, please contact us.