Millions of renters in England are now one step closer to receiving enhanced rights following the formal approval of a new law.
The Renters’ Rights Bill has been granted Royal Assent, a move expected to impact 11 million private renters and 2.3 million landlords, according to the Government.
Key provisions in the Bill include the elimination of Section 21 “no-fault” evictions and expanded rights for tenants regarding pet ownership.
While these regulations have not yet been enforced, they will solely apply to rentals in England. Further information on the implementation of these reforms is set to be disclosed in the upcoming weeks.
Stakeholders such as the Renters’ Reform Coalition, comprising organizations like Shelter, Generation Rent, and Citizens Advice, have hailed these changes as a significant enhancement of renters’ rights.
The National Residential Landlords Association (NRLA) has pledged to collaborate with the Government to ensure that the reforms are introduced in a fair, proportionate, and feasible manner.
The Renters’ Rights Bill will put an end to Section 21 evictions, a practice allowing landlords to terminate tenancies without providing a reason.
Landlords will be prohibited from selling or moving into a property within the initial 12 months of a tenancy. After this period, a four-month notice will be required.
Under the new rules, tenants can be evicted if they fall behind on rent, damage the property, or engage in antisocial behavior.
Additionally, the threshold for issuing a Section 8 eviction notice due to rent arrears will be raised from two to three months.
Tenants served with a Section 8 notice will have four months to vacate the property; failing to do so may lead to a court deciding on possession.
Furthermore, all tenancies will transition to a periodic or rolling basis, instead of fixed terms, with existing fixed-term agreements shifting to periodic arrangements.
Tenants will have improved rights to request pets in the property, which landlords must consider and cannot unreasonably refuse. Disputes can be escalated to the new Private Rented Sector Ombudsman if tenants feel unfairly denied.
Lastly, discrimination against benefit claimants and families with children by landlords and estate agents will be illegal. However, all tenants will still undergo reference and affordability checks.
Moreover, landlords and estate agents will no longer be able to solicit offers above the advertised rent to prevent bidding wars that drive individuals out of affordable housing. They must publicly disclose an asking rent, and accepting offers exceeding this rate will be prohibited.
