The Labour Government published the new Renters Rights Bill on 11 September 2024 with the aim to give greater security to those who rent. This new legislation brings a range of tougher regulations, with a focus on tenant security, higher compliance, and stricter property standards. For landlords, it will be crucial to understand how these changes will impact rights, responsibilities, and the future of renting.
The key changes:
- Abolition of Section 21 “No-Fault” Evictions: This will remove the ability of landlords to evict tenants without providing a valid reason.
- Tighter Repossession Grounds: The threshold for eviction due to rent arrears will increase from two to three months. Additionally, landlords selling their properties must keep them vacant and off the rental market for at least 12 months.
- Longer Notice Periods: Tenants will now be provided with a minimum of two months’ notice, up from the current one-month period.
- Monitored Rent Increases: This aims to prevent bidding wars and ensure rent hikes are fair and reasonable.
- Improved Rental Quality: Through the extension of Awaab’s Law, landlords must ensure their properties meet basic living standards, making homes safer and more habitable for tenants.
- New Deposit Protection Scheme: A scheme will ensure tenants’ deposits are safeguarded and returned promptly at the end of the tenancy.
- Right to Keep Pets: Tenants will have the right to request permission to keep pets, with landlords unable to “unreasonably refuse” the requests.
The bill represents a major shift in the balance of power toward tenants. While it aims to address legitimate issues in the rental market, it also places more restrictions and responsibilities on landlords. Increased regulation, coupled with reduced flexibility, may make managing rental properties more challenging if not delt with appropriately.
Florence White