Sarah Emmerson

Head of Lettings Operations and Compliance

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The Renters’ Rights Bill seeks to strike a balance between protecting tenants' rights and maintaining landlords’ ability to manage their properties effectively. The Bill was introduced to parliament on 11th September 2024, and if passed without amendments, will overhaul the structure for the private rental sector. While there are many stages to a Bill being passed, we could see changes come into play as early as next spring, being implemented by late summer.

Landlords may face increased scrutiny and responsibility in maintaining properties through this new Bill, but they also retain the ability to evict tenants for legitimate reasons. Notably, any changes will only apply to Assured Shorthold Tenancies.

Here we run through the nine proposed changes and what they mean for both landlords and tenants:

Abolition of Section 21 “No-Fault” Evictions

• What it means: Landlords will no longer be able to evict tenants without a reason at the end of their fixed-term tenancy
• The impact: This gives tenants more security, as they cannot be asked to leave their home without cause. Landlords will need legitimate grounds (such as rent arrears, property damage, or wanting to sell/move in) to evict a tenant.

Reformed Grounds for Eviction

• What it means: Landlords will no longer be able to evict tenants without a reason at the end of their fixed-term tenancy.
• The impact: While tenants are protected from arbitrary eviction, landlords will still have recourse if tenants are acting irresponsibly or failing to meet tenancy obligations.

Introduction of a Single System of Periodic Tenancies

• What it means: Landlords will no longer be able to evict tenants without a reason at the end of their fixed-term tenancy.
• The impact: Tenants have greater flexibility to leave a property without being locked into a long-term lease.

Stronger Tenant Rights on Property Conditions, including Decent Homes Standard

• What it means: The Decent Homes Standard previously only applied to social housing but will now be extended to the private rental sector. This will ensure homes meet minimum standards of decency, such as good repair and safe facilities. There will also be stricter enforcement to ensure landlords carry out repairs and maintain the property. This includes extending Awaab’s Law which will set timeframes within which landlords must make their home safe.
• The impact: Tenants can expect better living conditions and quicker repairs, with local councils empowered to enforce these standards more effectively.

A New Ombudsman for Landlords

• What it means: A new mandatory ‘landlord ombudsman’ will be introduced, providing a simpler and cheaper way for tenants to resolve disputes with landlords without going to court.
• The impact: Tenants will have a more straightforward process for addressing issues such as poor property conditions or unfair treatment, while landlords will be incentivised to resolve issues fairly and quickly.

Pets and Children in Rentals

• What it means: Tenants will have the legal right to request a pet, and landlords will not be able to refuse without good reason. There will also be a ban on discriminating against tenants with children – or those on benefits.
• The impact: Tenants will have more freedom to own pets which will make rentals more attractive for pet owners. Landlords can request pet insurance to cover any potential damage caused by pets. It will also help make the private rental sector more accessible to families and those in receipt of benefits.

Rent Review Restrictions

• What it means: Landlords will only be allowed to increase rent once a year, and tenants will have stronger protections against unfair rent increases.
• The impact: This provides greater rent stability for tenants and prevents landlords from suddenly increasing rents multiple times a year.

Setting Rents

• What it means: Preventing landlords and agents from encouraging or accepting rents above the listed rent.
• The impact: This will put a ban on bidding wars in a bid to make it a fairer marketplace.

Introduction of a Digital Database

• What it means: A publicly accessible database of landlords who have been penalised for failing to meet their legal obligations (such as providing unsafe homes) will be created.
• The impact: This will provide transparency for tenants and councils and aims to discourage poor landlord practices.

This is certainly a large piece of legislation, and the full bill can be read here.

The bill contains many of the same measures as its predecessor - the Renters (Reform) Bill - which was originally introduced by the Conservatives and that we covered previously. This Bill was then dropped once the General Election was called earlier this year and has now been rekindled by the Labour Government – who have in fact added an additional 80 clauses.

For more information or questions, please contact our Head of Lettings Operations and Compliance, Sarah Emmerson.