Renters' Rights Bill Update

Renters' Rights Bill Update

Renters' Rights Bill

In the UK, if you are an existing landlord, you should be made aware of the changes that the government plan to make to current legislation regarding private rentals. Although the process on passing this bill is ongoing, nothing is set in stone, and we do not want any of our landlords to worry as there are also many benefits for you. Here is all you need to know about the Renters' Rights Bill.

What is the Renters' Rights Bill? 

The Renters' Rights Bill is a new piece of legislation that is likely to come into effect at the end of 2025. Its main aim is to reform the current private rented sector (PRS), and offer tenants more security in their homes and avoid homelessness.

What will the Renters' Rights Bill include?

Abolish section 21 Notices – this is to benefit both landlord and tenant, offering the tenant more security, whilst ensuring Landlords can still serve notice using section 8.  There are many changes being made to the grounds that landlords can rely on, but some are still being discussed.  We want to assure landlords that you will be able to get your property back if you need to.

Abolish fixed term assured shorthold tenancies - As a result, all tenancies will be  periodic from the date of the legislation.  This will apply to all tenancies, save a few exceptions.

Change to possession grounds and length of notice – This gives tenants more time to find a new home whilst still ensuring landlords can repossess their property when they need to, some grounds will include: landlord needing to moving back into the property, selling the property, rental arrears and antisocial behaviour.

Create a private rental database – To give landlords the opportunity to prove compliance and to provide clear information to tenants.

Introduce a decent homes standard – This offers clarification to landlords and means that properties will come in at a better standard.

Rent Increases – This is aimed to make the market fairer, ensuring landlords can increase the rent on a yearly basis at market value.

Why are these changes being made?

The government have outlined their commitment “to transform the experience of private renting” and describe the bill as “long overdue”. They want to introduce a fairer system for tenants, ensuring that they cannot be evicted with short notice and minimal justification, and aims to help tenants living in substandard properties.
In their manifesto, they have stated that “while the majority of landlords provide a good service, the private rented sector currently provides the least affordable, poorest quality and most insecure housing of all tenures”.

What does this mean for landlords?

Whilst there are many advantages for tenants in the proposed bill, it also offers many opportunities for landlords, and your agent can help you every step of the way. We can offer rent guarantee protection policies and keep you up to date with all the latest news.  As your agent we will ensure you are fully covered for any changes which come in. Thank you to all our landlords for your continued support.