Security and improved rights: how new laws for renters will benefit tenants

Are you renting a home in London? Get ready for a rental revolution. The Renters’ Rights Bill, now making its way through parliament, promises to transform the private rented sector.

It will do this by improving housing standards and strengthening tenant rights across the UK. Fixed-term tenancies will end and rent increases will be restricted to one per year. Discrimination against families with children or people receiving benefits will be outlawed and it will become easier to own a pet in rented accommodation.

The Bill is currently approaching the final stages of its parliamentary journey and could reach the statute books as early as this summer. Here we explore some of the major changes that will affect renters in the UK, focusing on landlord obligations and tenant responsibilities.

Greater tenant security as Section 21 ends

The abolition of Section 21 ‘no fault’ evictions means that landlords will need a valid reason to evict tenants who are not in breach of their tenancy agreement.

In future, notice to quit can only be served if the landlord’s reason falls within a valid set of criteria. For example, if they need to sell the property, take it over as their primary residence or provide a main home for a family member. It is also possible to evict a tenant when planned renovations will make the property uninhabitable, but proof must be provided.

Security of tenure will be further enhanced by the introduction of a twelve month ‘protected period’ at the start of a tenancy. At this time landlords cannot move in or sell the property. After the 12 months has elapsed, the landlord must give a minimum of four months’ notice.

It’s worth noting here that arrangements will be different for student accommodation or lets where property is provided for a particular purpose.

Tenants who breach their agreement

If a tenant breaches their agreement due to antisocial behaviour, damage to the property or serious rent arrears, the landlord can evict using a Section 8 notice. Under these circumstances, notice can be served at any point in the tenancy and the notice period will be shorter. Renters who refuse to leave can be taken to court.

There is some relief, however, for those who temporarily fall behind with their rent. In these circumstances, the threshold for eviction will be extended from two months in arrears, to three months. The notice period will also be increased to four weeks (instead of two weeks), giving renters more chance to catch up with missed payments.

Ombudsman service and rental property database

The Renters’ Rights Bill aims to make landlords aware of their responsibilities and the new legislation will improve accountability when things go wrong.

By law, all private landlords with assured or regulated tenancies must join a new Ombudsman service, even if they use an agent to let and manage their properties. Landlords must also register details of their rental homes on a nationwide database which links directly to their local authority.

The Ombudsman is designed to offer a faster and cheaper dispute resolution service between tenants and landlords. It is hoped that this will prevent many cases from going to court. Meanwhile, the rental property database will allow prospective tenants to make more informed decisions, as well as helping local officials to enforce regulations.

What is expected of tenants?

The Bill clearly sets out expectations regarding tenants’ responsibilities.

Paying rent and giving notice: tenants should always endeavour to pay rent in full and on time. Under new rules, they must give two months’ notice when ending a periodic tenancy.

Property care: tenants must treat their rental property with care and report any issues in a timely manner. Access for tradespeople must be given when required.

Anti-social behaviour: renters are required to be respectful of neighbours and avoid making noise or causing a disturbance.

Challenging unfair practices: the Bill gives tenants greater powers to challenge unfair rent rises and demand essential repairs.

How will the Renters’ Rights Bill affect London lettings?

When the Bill is finally implemented it should lead to a fairer, more transparent rental sector, with a more balanced relationship between tenants and landlords.

Unfortunately, it is expected that some private landlords may quit the market in response to the tightening of eviction laws and new rules on housing quality. This could affect both the supply of rental properties and the cost of rents, particularly in sought-after London areas.

Where demand is high and supply is low, a good lettings agency can help you find the right rental property for your lifestyle and circumstances. As a family-run agency with over thirty years’ experience, we’re ideally placed to find your perfect new home.

Why not get in touch with our experienced lettings staff in Westminster, London Bridge or Kennington and start your search today?