The Renter’s Reform Bill
The Renter’s Reform Bill, or the Landlord and Tenant (Reform) Bill to give its correct name, is expected, to receive its second reading in parliament this week. The Bill is a result of the UK Government’s Fairer Private Rented Sector White Paper, which was published in 2022 with the aim of redressing the balance between landlords and tenants in the private rented sector. The Bill is expected to include a wide range of reforms, some of which are outlined below.
Revised Routes to Regain Possession
One of the most significant changes in the Renter’s Reform Bill is a revision of the means by which landlords can regain possession of their property. Currently, landlords under an AST (Assured Shorthold Tenancy) have two options for doing so: the Section 8 and Section 21 Notices. However, under the proposed Bill, the Section 21 Notice will be abolished, and the grounds of the Section 8 Notice will be reformed.
No Blanket Ban for Renting with Pets
Another change that will be introduced by the Renter’s Reform Bill is the removal of the blanket ban on renting with pets. Currently, landlords can include clauses in their tenancy agreements that prohibit tenants from keeping pets. However, under the proposed Bill, landlords will only be able to do this if they have a valid reason for doing so, such as if the property is unsuitable for pets.
Decent Homes Standard
The proposed Bill will also support the Decent Homes Standard, which aims to require all rental properties to meet certain minimum standards in terms of safety, security, and basic amenities. This will help to ensure that all tenants have access to safe and comfortable living conditions.
Dedicated Housing Court
To help resolve disputes between landlords and tenants more quickly and efficiently, the Renter’s Reform Bill will create a dedicated Housing Court. This will provide a single point of contact for all housing-related disputes, reducing the burden on the court system and ensuring that disputes are resolved more quickly.
Arbitrary Rent Review Clauses Will Cease
The Bill will also prohibit arbitrary rent review clauses which can be used to increase rents at any time, without any justification. Instead, rent increases will be subject to more stringent requirements, ensuring that tenants are not unfairly burdened with excessive rent increases.
Blanket Bans on Renting Benefit Recipients (or Families with Children)
The Bill will also prohibit landlords from implementing blanket bans on renting to benefit recipients or families with children. This will help to ensure that all tenants have access to the rental market, regardless of their financial circumstances or family status.
New Private Renters’ Ombudsman Created to Settle Disputes
To help settle disputes between tenants and landlords more quickly and efficiently, there will be a new private renters’ Ombudsman. This will provide tenants with a way to raise complaints and have them resolved more quickly, without the need for costly and time-consuming court proceedings.
In summary, the Renter’s Reform Bill will represent a significant change for landlords and the lettings industry. While some of the proposed reforms may pose challenges for landlords and lettings agencies, they are ultimately designed to ensure that all tenants have access to safe and secure rental accommodation. As the Bill makes its way through Parliament, our Lettings Department at David Cosby will be keeping fully up-to-date and adapting to these proposed changes.
If you are a landlord, or a tenant, and would like to know more about the The Renter’s Reform Bill, please speak to one of the Lettings Team at David Cosby on 01327 361664.
Our sales and lettings team here at David Cosby has legal and surveying expertise to ensure you receive the highest standard of service and the best professional advice on all your property-related matters. Whether you are renting, letting, buying, selling a property, or simply have a property-related question, please contact us by clicking the link below, or call us on 01327 361664.