Warning to Landlords - no fault evictions under Section 21 is under consideration to be banned -Renters’ Rights Bill is back in Parliament!
Landlords were able to evict tenants using Section 21 notices giving two months’ notice without showing the tenant is at fault, known as “no fault evictions” (subject to certain conditions being satisfied). This is now about to change as the Renters’ Rights Bill will be introduced to the House of Commons on 11 September 2024.
The Renters’ Rights Bill is set to ban the use of Section 21 notices, aiming to give renters greater protection, and cracking down on unscrupulous landlords. This will then leave the landlords to use the Section 8 framework with additional grounds introduced to assist with evicting tenants when required. However, the government has introduced new grounds: ”no fault” and ”fault” grounds, to allow the landlords to evict tenants using the Section 8 framework.
The proposed ”no fault” grounds include:-
• Ground 1A – Landlord intends to sell the property
• Ground 1 – Landlord or family intends to move in
• Ground 2 – Repossession by mortgage company
• Ground 4A - Students
• Ground 6 – Redevelopment required by the landlord
• Ground 6A – Enforcement action against the landlord by the Local Authority
The Renters’ Rights Bill is also set to bring in further changes namely:-
• Empowering tenants to challenge rent increases designed to force them out ”by the back door”.
• Stopping agents and landlords encouraging bidding wars.
• Giving renters the right to request a pet but enabling landlords to request tenants take out pet damage insurance.
• The application of a Decent Homes Standard to the private rented sector.
• Applying Awaab’s law to the sector – setting clear legal expectations about the timeframes within which landlords in the private rented sector must make homes safe where they contain serious hazards, especially damp and mould.
• Creating a digital private rented sector database to bring together key information for landlords, tenants, and councils, to inform tenants’ choices when entering new tenancies, help landlords to understand their obligations and demonstrate compliance and for councils to use to target enforcement.
• Making it illegal for landlords to discriminate against tenants in receipt of benefits or with children when choosing to let their property.
• Strengthen local councils’ enforcement powers in relation to unscrupulous landlords.
• Introduce a new ombudsman service reducing the need to go to court.
While the process has just started for the Renters’ Rights Bill to be considered and scrutinised, there may still be hope for landlords.
At present, Landlords can still serve a valid Section 21 notice until the law is changed, provided all the set requirements are complied with for the notice to be valid.
Watch this space for further updates. If you require any advice or assistance, we are happy to help as we have a specialist landlord & tenant team. Please contact either Henaa Iayaz on 01278 457 891 or Georgia Clulee on 01935 382683.