The Renters’ Rights Bill is set to progress to a second reading sometime in October and the new government wants to move it along quite quickly so it could become law by mid 2025.
A lot of changes coming up
The new bill brings in a lot of reforms and is somewhat different to the Renters (Reform) Bill introduced in May 2023. Here’s what tenants and landlords need to know:
The end of Section 21 no-fault eviction
One of the flagship changes is the total abolition of S21 evictions – landlords can no longer evict tenants without a reason. Assured shorthold tenancies will, as a result, convert to periodic tenancies.
This move gives tenants more flexibility and security – tenants can still give two months’ notice to leave but landlords will have to follow the new rules to take possession of their property.
New grounds for possession
The new bill brings in grounds for possession – the sale of the property or a relative moving in, for example. These grounds can’t, however, be used during the first 12 months of a tenancy and there’s a four-month notice period.
The bill also prevents landlords from reletting the property within 12 months of taking possession on these grounds. Any landlord not complying could face fines of up to £7,000.
Changes to rent arrears grounds for possession
The Ground 8A (mandatory eviction for rent arrears) has been removed in favour of Ground 8, which originally required two months of arrears but now needs three months. Landlords also need to give a four-week notice period.
Student tenancies are exempt from these provisions
Purpose-built student accommodation is exempt from the Renters’ Rights Bill – university-owned accommodation and joint student tenancies will stay under the current framework.
Civil penalties for landlords performing illegal evictions
Local authorities will have the power to issue civil penalties – up to £40,000 – for illegal evictions. This makes for quicker enforcement without the need for prosecution.
Other important changes:
- A ban on rent bidding – there will be a ban on landlords asking for or accepting offers from tenants that are over the advertised rent
- Awaab’s law will come into effect – there will be definite legal expectations for landlords to deal with serious hazards in private rentals
- The Decent Homes Standard – this will now apply to privately rented homes rather than just those in the private sector
