The legal tension between landlords and tenants has long been a moot point. The challenge to balance the rights of each party has been a seesaw, sometimes leaning more in one side’s favour. The most recent attempt to achieve some equilibrium is the Renters Rights Bill. This is set to become law in 2025 – the question is has it scored? Here we take a look at the key changes landlords and tenants need to be aware of and how to stay compliant.
What is The Renter’s Rights Bill?
The Renters Rights Bill is proposed legislation that aims to reform the rental market. There are several changes that will affect both landlords and tenants rights and responsibilities; applying to both existing and new tenancies. As one of the best conveyancing firms in London, we are here to navigate you through any confusion. Let’s start by breaking down the key changes without the legal jargon… You will be pleased to know our property experts like to keep it simple.
What Are The Key Changes Of The Renter’s Rights Bill?
The bill currently under review by the House Of Lords and set to become law by Summer 2025, will make some significant changes for landlords and tenants. So, what’s on the agenda?
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Goodbye No Fault Evictions
As it stands, landlords can evict tenants without needing to have a reason. Serving a section 21 notice allows them to end a tenancy at any point in the contract without the tenant having done anything wrong. For example, get into rent arrears etc, etc. The Renter’s Reform Bill will remove that right giving tenants stronger rental security. A landlord can still regain possession to sell the property or if they intend to move back in, a silver lining for all those who are concerned about their rights of possession. If you are in a position where you need to evict a tenant or dispute an eviction notice, contact a law firm near you. Also, you can get in touch to speak to one of our supportive property solicitors.
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Paws For Thought
Under the new Bill, landlord’s will not be able to refuse tenants that have pets simply because they choose to do so. They can insist a tenant takes out pet insurance in an attempt to achieve some balance. Landlord’s will also not be able to refuse tenants on benefits or with children to give tenants a stronger position when it comes to choosing and securing a tenancy. Landlords will still be able to refuse tenants on reasonable grounds. However, those grounds appear to be getting smaller in balancing out the playing field.
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Raising The Bar – Awaab’s Law
The Renter’s Reform Bill will demand that landlords provide minimum standards of warmth and safety and emergency repairs are addressed within 24 hours. This important change was triggered by the death of Awaab Ishak who died from a respiratory illness linked to mould in his social housing. This law will apply to privately rented homes and ensure that all tenants have the right to a decent quality of living.
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Periodic Tenancies All Round
Another key change of the bill is to remove fixed-term assured shorthold tenancies and replace them with periodic tenancies in an attempt to simplify the law. This change also aims to limit rent increases and give tenants more flexibility over tenure. They will feel more confident to challenge poor practices without the fear of eviction under this more simple tenancy structure.
How Can Landlords Prepare For The Changes?
Firstly being aware of the key legislative changes is hugely important for landlords so they can make sure they are compliant. You may want to review your tenancy agreements and current property management systems to ensure you are meeting the new standards. Going forward it could be worth getting legal advice on drafting new tenancies and when you are making any evictions or changes. Speaking to a law firm near you or jumping on a call with one of the teams at Waterstone Legal can help put your mind at rest if you have any questions. With a little preparation, you will be one step ahead and maximise the success of your landlord journey.
The Wrap Up
The Renters Reform Bill is set to shake up the legal setting for landlords and tenants in Summer 2025. The proposed legislation will make key changes that affect both parties rights in an attempt to balance the rights and responsibilities. The changes will affect both current and new tenancies as well as privately rented properties. As a landlord staying aware of the changes and ensuring compliance is key to success. Speaking to a property lawyer could put your mind at rest if you feel you need support to get things in order.
