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Renters' Rights: Amendments backed by the NRLA

The Renters’ Rights Bill is moving to Committee stage in the House of Lords on 22 April, where more than 200 amendments will be debated.

Ellie Bateman, public affairs manager at the National Residential Landlords Association (NRLA), highlights below the proposed changes that the NRLA is supporting to ensure the Bill is workable and fair.

Bateman says: “In its current form, the Renters’ Rights Bill fails to get the balance right in a number of areas. And while the 200 amendments tabled will be discussed - as is custom at Committee stage in the Lords - very few will be accepted.” 

Why amendments matter  

There are several reasons for tabling an amendment, from probing the Government on a certain issue to challenging specific proposals or policies. These may make for an interesting debate, but most have a near zero chance of acceptance and only those that support the core principles of the Bill will make it to the next stage. This means any proposals to retain fixed term tenancies or Section 21 – even where restricted to small portfolio landlords – will not make it into the final legislation.   

Bateman continues: “We are supporting a series of targeted amendments aimed at ensuring the Bill delivers a fair balance between the rights and responsibilities of tenants and landlords.”  

Below are the Amendments backed by the NRLA:

Clarity on transition arrangements 

Following concerns raised by the NRLA, the Government has tabled a helpful amendment about the transition period for possession claims, which clarifies that, where a landlord has served a valid Section 8 or Section 21 notice before the Bill comes into force, they will have three months from commencement to make a claim for possession.  

Without this change, landlords would need the court to issue the possession claim within three months to be certain they could gain possession. Given current court delays, this could have invalidated the claims of landlords – including those who acted promptly to regain possession.  

Preventing unmanageable debt 

The Bill raises the arrears threshold under ground 8 from two months to three. This means that, once in force, a landlord will need to wait until a tenant has accrued three months of arrears before they can serve notice to end a tenancy. Not only does this increase potential risks for landlords, who face a minimum of four months unpaid rent before they can apply for a possession claim, but tenants will be allowed to slip further into debt.

The NRLA therefore supports the amendment to retain the two-month threshold, which it feels offers more balanced protections for both parties.  

Bateman adds: “Lord Carter has tabled a second amendment on ground 8, which we’re also supportive of. In addition to the arrears threshold increase, the Bill inserts a caveat to ground 8 that means that, where arrears arise due to a delayed Universal Credit (UC) payment, these will not count towards the threshold.  

“Our concern with this is that, unlike social housing providers, private landlords have no way of verifying whether a tenant is receiving UC, let alone whether payment has been delayed. This risks a landlord making what they believe to be a valid claim for possession only to find that all or part of the arrears are due to a delayed UC payment.”  

Lord Carter’s amendment simply removes this unworkable provision, which threatens to add further strain to the courts, which will be under pressure following Section 21 abolition. 

Safeguarding the supply of student housing 

The new regime will need all landlords to adjust, but student landlords are likely to need to make fundamental changes to their businesses. An amendment proposed by Lord Willetts would ensure that all student properties – not just larger Houses in Multiple Occupation (HMOs) – benefit from the certainty provided by the student ground for possession (ground 4A). The exclusion of one and two-bedroom student properties from ground 4A risks up to one-third of private rented student accommodation leaving the student market, which will limit options and restrict access to higher education.  

Certainty of a minimum tenancy 

The Bill will remove fixed terms and make all assured tenancies open-ended. It will also enable a tenant to serve two months’ notice at any time, which will create uncertainty for landlords.

“We support Lord Truscott’s amendment to introduce a four-month notice restriction at the start of a tenancy, effectively creating a minimum six-month tenancy. This would provide some stability for both parties and help landlords manage rental income and plan for necessary maintenance,” says Bateman.

Streamlining rent appeals 

The Bill intends to make it easier for tenants to challenge above market rent increases, yet the only way a tenant will know whether a proposed increase is above market rent is to challenge it at the First tier Tribunal. Baroness Wolf’s amendment would enable a tenant to check with the Valuation Office Agency (VOA) whether a rent increase is within market rates or not. This would filter out cases without merit.  

Lastly, the NRLA also supports a full Government review of the Bill’s impact on the sector, including the supply of rented homes and the regulatory and financial burden on landlords and the judicial system.

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