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Renters’ Rights Bill set to become law

The government’s Renters’ Rights Bill (Act) has now received Royal Assent and is now set to become law.

The Act will rebalance landlord-tenant relations across England as part of the government’s ‘Plan for Change’ and at its core is the abolition of Section 21 ‘no fault’ evictions and give renters the right to end tenancies with two months’ notice.

Steve Reed, Secretary of State, said: “Our historic Act marks the biggest leap forward in renters’ rights in a generation. We are finally ending the injustice overseen by previous governments that has left millions living in fear of losing their homes.   

“For decades, the scales have been tipped against tenants. Now, we’re levelling the playing field between renters and landlords.  

“We are tearing down the walls of injustice in the private rented sector and building a future where tenants are protected, respected and empowered.”

Whilst the now Act has received Royal Assent, the government hasn’t as yet revealed when it will be invoked, however Housing Minister Matthew Pennycook has said that landlords and tenants will be given ‘sufficient notice’.

Ben Beadle, Chief Executive of the National Residential Landlords Association (NRLA), said: “After years of debate and uncertainty, today marks an important milestone for the private rented sector. With the Renters’ Rights Act now on the statute book, the sector needs certainty about the way forward. 

“This is the most significant shake-up of the rental market in almost 40 years, and it is imperative that the new systems work for both tenants and responsible landlords. The NRLA stands ready to work with the Government to ensure the reforms are implemented in a way that is fair, proportionate and deliverable.” 

Overview of the measures:

  • Abolish Section 21 evictions and move to a simpler tenancy structure where all assured tenancies are periodic.  
  • Ensure possession grounds are fair to both parties, giving tenants more security, while ensuring landlords can recover their property when reasonable.   
  • Provide stronger protections against backdoor eviction by ensuring tenants are able to appeal excessive above-market rents which are purely designed to force them out.   
  • Introduce a new Private Rented Sector Landlord Ombudsman that will provide quick, fair, impartial and binding resolution for tenants’ complaints about their landlord.   
  • Create a Private Rented Sector Database to help landlords understand their legal obligations and demonstrate compliance (giving good landlords confidence in their position), alongside providing better information to tenants to make informed decisions when entering into a tenancy agreement.   
  • Give tenants strengthened rights to request a pet in the property, which the landlord must consider and cannot unreasonably refuse.
  • Apply the Decent Homes Standard to the private rented sector to give renters safer, better value homes and remove the blight of poor-quality homes in local communities.  
  • Apply Awaab’s Law to the sector, setting clear legal expectations about the timeframes within which landlords in the private rented sector must take action to make homes safe where they contain serious hazards.  
  • Make it illegal for landlords and agents to discriminate against prospective tenants in receipt of benefits or with children – helping to ensure everyone is treated fairly when looking for a place to live.  
  • End the practice of rental bidding by prohibiting landlords and agents from asking for or accepting offers above the advertised rent. Landlords and agents will be required to publish an asking rent for their property and it will be illegal to accept offers made above this rate.  
  • Strengthen local authority enforcement by expanding civil penalties, introducing a package of investigatory powers and bringing in a new requirement for local authorities to report on enforcement activity.  
  • Strengthen rent repayment orders by extending them to superior landlords, doubling the maximum penalty and ensuring repeat offenders have to repay the maximum amount.

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