TENANTS will be more secure in their home as the government introduces new rules to help address the renting crisis.
Landlords will be banned from ‘no fault’ evictions, rejecting tenants on benefits or with children and will only be able to hike rents once a year, under the new rules.
The Renters’ Rights Bill has been introduced to Parliament today which will see MPs discuss the proposed law.
The bill also seeks to put an end to bidding wars for homes, as well as making sure rental homes meet certain standards.
The government is hoping the new rules will become by law by next summer these include:
This will put an end to property owners turfing out tenants for no good reason and will apply to new and existing tenancies.
It means renters will have more power to challenge their landlords over living conditions without fear of an eviction in retaliation.
Going forward landlords will need to provide a valid reason to end a tenancy early, such as a breach of contract.
Currently, under Section 21, property owners need only give tenants two months notice before evicting them and there does not need to be any explanation.
Last year, nearly 26,000 households were made homeless as a result of a Section 21 eviction and had to go to their council for support, according to the government.
Landlords will also no longer be able to push out tenants through mid-tenancy rent increases. Instead rent can only be hiked once a year, and to the market rate.
Letting agencies and landlords will be stopped from driving up rent by triggering bidding wars among prospective tenants.
Instead an asking rent must be published for a property and bids above this price will not be allowed and cannot be accepted.
On in five tenants who moved in the last year had been asked to bid or offer the highest they could afford – up from just 2% before 2019, according to data from Generation Rent.
The bill proposes to make it illegal to have a blanket ban on tenants with children or those in receipt of benefits.
In the past, landlords have been found to reject tenants claiming housing benefits or with children.
Landlords will also need to meet the Decent Homes Standard and those who fail to sort out serious hazards could be fined up to £7,000 by local councils and may face prosecution.
Property owners will further have to address damp and mould in privately rented homes within a fixed time period as Awaab’s Law is applied to the sector. This is already the case for socially rented homes.
It was found that just under a quarter of private rentals in England did not meet the decent home living standard in 2021/22.
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.”
She added: “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.”
A bill to ban Section 21 was first proposed under the Conservative government but time ran out to pass it before the election in July.
The government hopes that the new rules will be in place by next summer.
Howver, they first to work their way through Parliament being approved by MPs and peers.
Along the way, there could be changes or amendments to the bill before it becomes law.
The bill aims to prevent Section 21 notices by next summer, in the mean time if you have been issued a a no-fault eviction through the courts, you can take steps to fight it and usually get free legal advice.
You should get help as soon as you’re served a notice, to give you time to build a case.
The Government’s Housing Loss Prevention Advice Service provides early legal support on housing issues.
You can find a local provider at find-legal-advice.justice.gov.uk.
The court can only void an eviction notice if it’s “invalid”, so your best bet is to prove it doesn’t meet the right criteria, advises housing charity Shelter.
Landlords must use Form 6A to issue a notice, nothing else is valid.
You must also be given two months’ notice to move out and it must be at least four months since the start of your original tenancy.
Reagan Jones, director of compliance at rental service Zero Deposit, says: “If your landlord doesn’t apply to the courts within six months of issuing a Section 21 notice, it becomes invalid and they will need to repeat the initial process.”
Unresolved issues with your home can also help your case.
Mr Jones adds: “A lack of a working smoke alarm or carbon- monoxide alarm could render a Section 21 invalid, among other property-related issues.
“Your landlord may have failed to give you electrical and gas-check certificates, illegally charged you fees or evicted you following a complaint you’ve made about the property,” he adds.
The security deposit on your home must be in a protected tenancy deposit scheme from when you move in.
If the notice is valid, speak to your landlord and see if there’s room for negotiation.
Most should be willing to negotiate and be flexible to give you time to find a new home.
Mr Jones says: “If you do opt to remain in the property beyond your eviction date, you’ll be given an opportunity to voice your side of the story in the court process which can ultimately influence whether or not a possession order is granted.”
FOR private renters, speak to your landlord as soon as you can.
They may be able to defer your payment, or to allow you to pay a smaller amount – but they don’t have to do this.
Social renters should speak to their housing association or local council.
If you’ve tried speaking to your housing association or landlord and they aren’t being sympathetic, contact Shelter for advice and support. They’ll be able to guide you about what to do next.
If you’re finding it difficult to manage your payments because you’re in debt, here are some tips for you to curb it:
Check your bank balance on a regular basis – knowing your spending patterns is the first step to managing your money
Work out your budget – by writing down your income and taking away your essential bills such as food and transport
If you have money left over, plan in advance what else you’ll spend or save. If you don’t, look at ways to cut your costs
Pay off more than the minimum – If you’ve got credit card debts aim to pay off more than the minimum amount on your credit card each month to bring down your bill quicker
Pay your most expensive credit card sooner – If you have more than one credit card and can’t pay them off in full each month, prioritise the most expensive card (the one with the highest interest rate)
Prioritise your debts – If you’ve got several debts and you can’t afford to pay them all it’s important to prioritise them. Your rent, mortgage, council tax and energy bills should be paid first because the consequences can be more serious if you don’t pay
Get advice – If you’re struggling to pay your debts month after month it’s important you get advice as soon as possible, before they build up even further.
Groups like Citizens Advice, Money Advice Trust or StepChange can also help you prioritise and negotiate with your creditors to offer you more affordable repayment plans.
