The Renters' Rights Bill: What You Need to Know

The Renter’s Rights Bill plans to:

• Abolish fixed-term assured tenancies and assured shorthold tenancies, and going forward, all tenancies will be periodic;
• Abolish the ‘no fault’ evictions under section 21 of the Housing Act, and going forward, landlords would need to provide a valid reason for their eviction, such as rent arrears or breach of the tenancy agreement;
• Revise the other grounds for possession to strengthen tenant security; for example, tenants will have a 12-month protected period at the start of their tenancy whereby they cannot be evicted if the landlord wishes to move in or sell the property;
• Extend the notice period requirements for many of the mandatory grounds for possession;
• Introduce new protections for tenants who are in arrears of rent by increasing the mandatory threshold for serving notice on a tenant;
• Introduce new grounds for possession, including whether the landlord, their spouse or family member requires the property as their primary home;
• Tenants will be able to end the tenancy by giving two months’ notice;
• Prohibit unreasonable denial of tenant requests to have pets at the property. However, landlords can require pet insurance to cover the cost of any damage to the property that is caused by the pet;
• Establish a “Decent Homes Standard”, meaning that landlords can be prosecuted or receive a civil penalty for failing to address serious hazards; and
• Introduce a new ombudsman and new database to provide a cost-effective way of resolving disputes which aims to aid landlords in understanding and fulfilling their obligations and provide information to tenants.

1. Committee stage: A detailed examination of the Bill and potential amendments
2. Report stage: The House reviews and considers any adjustments or changes made during the committee stage.
3. Third stage: The final opportunity for debate, followed by a vote by a vote in the House of Commons
4. House of Lords Consideration

Whilst many of these reforms have been anticipated, some are entirely new, and there is uncertainty as to how they will work in practice.

It is important to note that the Renters Rights Bill may still undergo various amendments throughout the legislative process, leaving no certainty as to which proposals will become law.

However, one point seems increasingly clear, Section 21 and ‘no fault’ evictions are likely on their way out.

Under the current legislation, landlords can regain possession of their property under Section 8 and Section 21 of the Housing Act 1988.

• Section 21: This allows a landlord to terminate an assured shorthold tenancy for any reason by serving valid notice to the tenant requiring them to vacate within two months. If they fail to do so, landlords may apply to the County Court for an order for possession under either the accelerated or standard procedure. However, section 21 notices can be rendered invalid if:
  • The landlord has not protected a deposit under an authorised scheme or;
  • The tenancy began or after 1 October 2015, and the landlord fails to provide a gas certificate, energy performance certificate, or How to Rent guide to the tenant.

• Section 8: Alternatively, a landlord can terminate an assured shorthold tenancy by serving a notice under section 8. However, they must demonstrate to the court that one or more of the statutory grounds apply. Some of these grounds are mandatory, and if that ground is met then possession must be ordered. Other grounds are discretionary, and the court must decide if the landlord has provided enough evidence to prove these grounds.