Important News - Renters Rights Bill presented in Parliament
Here we go. The government are standing by their word and will push this Bill through as promised relatively quickly.
The Renters Rights Bill was ‘presented’ in Parliament today - no fanfare, just confirmation that the Second Reading will take place tomorrow, 12th September 2024.
The Bill
So what’s included in the Bill. New laws will ban unfair “no-fault evictions” , there will be an end to bad practices, such as bidding wars to drive up rents, and unreasonable mid-tenancy rent increases.
According to the government, more than 11 million people in England live day in, day out with the knowledge that they could be uprooted from their home with little notice and no justification. This is not in fact the case as the majority of landlords (and letting agents) work well with tenants entering into discussion prior to the tenancy coming to an end, following formal processes and procedures to navigate renewal of tenancy or brining the tenancy to an end.
Renters Reform Bill to return to the Commons after Easter Recess
On the 27th March 2024, Jacob Young MP wrote to Conservative MPs regarding the Renters Reform Bill. He stated that the Conservatives are committed to “creating a fairer private rental sector” – standing on the promise that: - “if you’re a tenant, you will be protected from revenge evictions and rogue landlords, and if you are one of the many good landlords, we will strengthen your rights of possession”.
During her time as Housing Minister, Rachel Maclean MP made amendments to the Bill to bolster landlord protections which included making it clear that legislation would not be implemented until sufficient progress has been made improving courts, and scrapping proposals that would have both forced landlords to make expensive energy efficiency upgrades to their homes.
The Commons Committee reviewed concerns that have been put forward and as such, Government will bring forward further improvements at Commons Report Stage.
What next for the Renters Reform Bill?
A lot of chatter has appeared in the trade press over the last 24 hours regarding the Renters Reform Bill and the intentions of the Labour Party if they win a general election. A lot of the discussion circulates around the abolition of Section 21 (Form 6A), so much so that landlords are constantly having a ‘knee jerk’ reaction every time the trade press, national press, TV reports, a blog make reference to the notice disappearing. This has lead to many landlords selling up and exiting the letting sector.
With the greatest of respect to all those who report on the Renters Reform Bill, it’s irresponsible to mislead landlords in this way; landlords who in 2019 reacted to the initial proposal of abolishing the Section 21 notice were unfortunately mislead into thinking that firstly the notice would be abolished imminently. But let’s also think about tenants and the impact this ‘misinformation’ has affected them. Many tenants could have avoided having notice served on them and worse still, facing accelerated possession through the courts and possibly eviction. It has not and will not be abolished for a while.
The Queen’s Speech brings back into focus The Renter’s Reform Bill
As a result of the Pandemic, proposed legislation has been put on the back burner. The Queen’s Speech brings back into focus the Renter’s Reform Bill, the Briefing Document highlights the main elements of the Bill which are as follows:-
● Abolishment of the so-called ‘no fault’ evictions by removing Section 21 of the Housing Act 1988. This has been a very key topic, but the general feeling is that with the private rented sector having almost doubled in size in the past 10 years, this is will be welcome news for tenants.
● Reforming Section 8 and the possession grounds for landlords, introducing new and stronger grounds for repeated incidences of rent arrears and reducing notice periods for anti-social behaviour. Amending the Section 8 notice will need to consider what happens when a landlord needs to move back in or sell their property.
● Application of the legally binding Decent Homes Standard in the Private Rented Sector giving tenants safer, better quality and better value homes.
● The introduction of a new Ombudsman for private landlords so that disputes can easily be resolved without the need to go to court.
● The introduction of a new property portal to help landlords understand their obligations and to give tenants performance information to hold their landlord accountable.