New law: Proposed new laws for residential tenants put before Parliament

While the proposals may be amended as they pass through Parliament they currently include the following:

• Landlords only to be able to increase rent if it is to a market rent, and on service of a statutory notice. Landlords will no longer be able to impose a fixed rent increase each year.
• Fixed-term tenancies to be abolished. Tenancies must be periodic – continue on a rolling basis for no longer than 28 days – to stop landlords locking tenants into longer terms.
• Assured shorthold tenancies and no-fault evictions (ie evictions effected simply by serving a ‘section 21 notice’, with no reason having to be given) to be abolished.
• New grounds for eviction, including for repeated, serious rent arrears, provided four weeks’ notice has been given (even if the arrears are cleared before the expiry of the notice period) or for tenant behaviour 'capable of causing nuisance and annoyance' if the court considers it reasonable to evict.
• Possession claims to be allowed immediately on breach, and failure to protect a deposit no longer to act as a bar to a possession order.
• A compulsory ombudsman to be created for private landlords, whose rulings will be enforceable in the same way as court orders.
• Private landlords to comply with the Decent Homes Standard for the first time.

Other changes are also proposed – for example, in relation to the rules for landlords wishing to sell a property or where they (or a close family member) wish to move into it, and for registered providers of social housing operating a 'Rent to Buy' arrangement and Registered Providers or Supported Accommodation Providers.

Operative date

• To be announced

Recommendation

• Landlords should monitor the proposed new laws and explanatory notes in the Renters (Reform) Bill, on the UK Parliament website.