The government has introduced a Renters’ Rights Bill, which aims to provide greater for security for renters, and a ‘level playing field between tenants and landlords’.
No-fault evictions – The new law will prevent landlords from evicting tenants in England under section 21 of the Housing Act 1988. This Act currently allows landlords to give tenants two months’ notice to leave their property, with no requirement to give a reason for the eviction.
Introduction of the Renters’ Rights Bill
The Conservatives proposed a change to the law to give tenants more rights while they were in government, however the bill was not passed before the general election. This meant that it needed to be introduced by the new government, which happened in September 2024.
Housing Minister Matthew Pennycook has said that it is hoped to pass the bill into law by the summer of 2025.
In 2023, nearly 26,000 households contacted their local authorities for support after being made homeless as a result of a section 21 ‘no-fault’ conviction.
What is in the Renters’ Rights Bill?
Evictions under section 21 will no longer be possible. This means that landlords will need a valid reason to evict a tenant, such as non-payment of rent or another breach of the tenancy agreement.
It is hoped that tenants will have greater security and feel able to challenge bad practice on the part of a landlord without fear of a retaliatory eviction. The ban will protect both new and existing tenancies.
Landlords will also have to comply with the Decent Homes Standard. An estimated 21% of privately rented homes are currently non-decent, with over 500,000 containing serious hazards. Issues like damp and mould will need to be remedied within a set time period.
Rent increases will be limited to once per year and must be in line with the market rate.
Landlords will not be able to impose a blanket ban on tenants with children or those on benefits.
Rental bidding wars, when landlords and agents allow tenants to bid increasingly high rents against each other to try to secure a property, will be banned. Instead, there will be a legal requirement to publish the rental amount and it will not be lawful to accept bids over the stated figure.
Tenants will also be able to request a pet and landlords will need to properly consider this and will not be allowed to unreasonably withhold consent.
Reaction to the new bill
Deputy Prime Minister, Angela Rayner said: “Renters have been let down for too long and too many are stuck in disgraceful conditions, powerless to act because of the threat of a retaliatory eviction hanging over them.
“Most landlords act in a responsible way but a small number of unscrupulous ones are tarnishing the reputation of the whole sector by making the most of the housing crisis and forcing tenants into bidding wars.
“There can be no more dither and delay. We must overhaul renting and rebalance the relationship between tenant and landlord. This Bill will do just that and tenants can be reassured this Government will protect them.”
The National Residential Landlords Association (NRLA), which represents over 110,000 landlords, has warned that landlords may need to increase rents in response.
Timothy Douglas, head of policy and campaigns at Propertymark, said: “Having met with the Housing Minister, it is clear his intention is for these reforms to overhaul private renting in England. They are a long-held manifesto commitment from Labour, with the new government at Westminster using their mandate for reform.
“Whilst Propertymark acknowledges the drive towards improved standards, the UK Government must fully understand and recognise the impact that these changes will have with agents up and down the country left wondering how this legislation will help meet the much-needed demand for homes for people to rent.
“With such significant changes to the current tenancy regime there must be a commitment to ensure the court system and grounds for possession are robust and fit for purpose. Furthermore, without an enhanced, effective and well-resourced enforcement regime from local authorities it is unlikely that any benefits from the reforms will be realised.
“Propertymark will continue to make the case for evidenced based policies that support a flexible and fair private rented sector for all.”
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