The private renting sector accounts for about 20% of all homes in the UK. There are approximately 11 million private renters and 2.3 million landlords. The new Labour government aims to reform the sector and enhance landlord regulation. As part of their manifesto, Labour has introduced the Renters Rights Bill (adapted from the Conservative’s Renters Reform Bill). This Bill seeks to empower and protect tenants by granting them more rights and placing greater obligations on landlords

In this article we: 

• Outline what the Renters Rights Bill will mean for both landlord and tenants; and 
• Look at how the new measures are going to enforced. 

How will the Renters Rights Bill protect tenants?

The Bill proposes to include several new measures: 

• Replacing fixed term tenancies with periodic tenancies. A periodic tenancy is the legal name for a rolling tenancy with no fixed end date.  Periodic tenancies will now replace fixed term assured and assured shorthold tenancies (“AST’s”). This allows tenants to give 2 months’ notice and offers more flexibility for tenants living in unsatisfactory properties. It will allow tenants to respond to changing circumstances such as increasing rent or poor-quality properties,
  
  
• Tenants will benefit from a new 12-month ‘protected period.’ During the first 12 months of a tenancy, landlords cannot reclaim the property to sell or move in.  Landlords must give 4 months’ notice when using these grounds, allowing tenants more time to find new accommodation. However, a landlord could still use a s.8 notice to evict a tenant for other reasons during this period). For more information on section 8 notices, please click here.
  
  
• Repeal section 21 (no fault) evictions. Currently s.21 of the Housing Act 1988 allows landlords to evict tenants without providing a reason. Landlords can do this at the end of a fixed-term tenancy or at any time during a periodic tenancy. Repealing this method of eviction empowers tenants to challenge changes such as unfair rent increases without fear of eviction. This means landlords will need to use alternative methods to evict tenants. One such alternative is using a section 8 notices which requires landlords give a reason for evicting a tenant. Typically, this would be a violation of the tenancy agreement e.g. rent arrears, damage to the property etc.
   
• Ending rental bidding. This prevents landlords from taking advantage of the housing crisis and outpricing the rent for those on lower incomes. Landlords will be required to publish an asking rent and cannot encourage or accept higher offers.  

What are my obligations as a landlord?

• The Decent Homes standard: The Bill will incorporate this Standard into the private sector, whereas it currently applies to social housing. In practice, this means properties must meet the statutory minimum standard for housing, including:
  • adequate thermal comfort,noise insulation,
  • reasonable repairs of components of the property such as heating systems, walls, windows, plumbing, electrics etc. 
     
• Awaab’s Law will be extended to the private sector. Currently in effect in the social sector, Awaab’s law sets requirements for responding to complaints about health hazards. The Housing Health and Safety Rating System (HHSRS) outlines these hazards, including damp and mould. Under this law, landlords need to investigate the causes of any such complaints within 14 calendar days. 
   
• Landlords will be required to seriously consider a tenant’s right for pets. Landlords will not be allowed to enforce a blanket refusal for pets. If tenants make a reasonable request, landlords cannot refuse without sufficient reasonable grounds. However, a landlord will be able to require tenants to have pet insurance. 
   
• Landlords will not be allowed to discriminate against families with children or those who receive benefits. ‘No DSS’ adverts will be banned so as not to discriminate against potential tenants. While landlords will still decide who rents the property based on accepted factors such as affordability, they cannot discount tenants based on either of those two factors.  

How will the Renters Rights Bill provisions be enforced?

• The government is establishing a new Private Sector Landlord Ombudsman. The Ombudsman scheme will legally require all private landlords, including those who use property management agents, to join. This free service will enable tenants to file complaints and receive impartial, binding resolutions through the ombudsman. 
   
• A new private rented sector database will be launched. This will serve as a central hub and all landlords will have to register on the database. It will signpost relevant guidance and regulations which will help both landlords and tenants understand their rights and responsibilities. 
   
• Increased civil penalties such as larger fines for landlords who disregard their legal obligations. Councils will also have enhanced investigatory powers such as powers of entry to business and residential premises. 

How We Can Help 

At Bailoran we understand that being a landlord comes with plenty of responsibilities and those responsibilities are always expanding. We appreciate that it may be easy to overlook some of these responsibilities and you may need some non-judgemental advice when you do. 

We have considerable expertise in disputes involving property from both a landlord and tenant perspective and can provide non-judgemental advice and guide you through the process of resolving a claim.  

This article does not constitute legal advice. If you would like further information about in relation to landlord and tenant disputes or a property disputes generally, please contact us on 0113 266 0735 or at info@bailoransolicitors.com to speak to one of our legal experts.