New Right to Rent Code of Practice comes into force 22nd January 2024
Since February 2016, Landlords in England have been required to check that anyone renting residential property’s the correct legal immigration status. This means that landlords and their letting agents (where applicable) must check documents manually or use the Landlord Checking Service through the Home Office to ensure that tenants have the Right to Rent..
On the 22 January 2024, the revised code of practice will be introduced, replacing the previous version and the changes implemented will coincide with higher maximum fines for non-compliance.
These higher fines represent what the Home Office has described as one of the “biggest shake ups” of civil penalties since the checks were first introduced.
Landlords are responsible for carrying out Right to Rent checks to ensure that all occupants of residential properties aged 18 and over have the Right to Rent in England. The penalties for non-compliance will increase from £80 per lodger and £1,000 per occupier for an initial breach to up to £5,000 and £10,000 respectively. Any repeat breaches will attract fines as high as £10,000 and £20,000.
Government Launches Consultation on New Code of Practice for the Property Sector
Today the government launched its Consultation on a new Code of Practice (COP) which will be the central point of the work undertaken by the new industry regulator, yet to be appointed.
The COP will set the standards and benchmark with a mission to promote a higher element of faith in the property sector. There are references to transparency currently addressed by the CMA and Trading Standards, Referral Fees, Client Money Protection Regulations, Redress and Complaints, along with the collection and management of data.
This New COP will apply to :
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Property Sales/Purchases
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Property Lettings and Property Management
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Property Auctions
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Property Guardians, a new initiative used by Landlords, commercial and residential
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Rent-to-rent
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International property agents and brokers