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The Renters’ Rights Bill: Key Reforms to the Private Rented Sector

30 January 2025

The Renters’ Rights Bill proposes significant changes to the private rented sector, introducing measures aimed at addressing longstanding challenges. This legislation proposes several key changes that will impact both landlords and tenants, making it crucial to stay informed about your rights and obligations.

At Penerley Solicitors, we specialise in advising landlords and tenants on all aspects of rental law. Whether you’re seeking to understand the implications of these reforms or require legal support for a specific matter, our team is here to help.

Abolition of ‘No-Fault’ Evictions

One of the major changes in the bill is the proposed removal of Section 21 ‘no-fault’ evictions. This would mean landlords can no longer end a tenancy without providing a valid reason, ensuring tenants have greater stability. However, landlords would retain the ability to regain possession of their properties where there are legitimate grounds, such as a tenant breaching the tenancy agreement or the landlord wishing to sell the property.

Limitation on Advance Rent Payments

The bill aims to address concerns around affordability by limiting the practice of requiring large advance rent payments. Landlords will only be allowed to request up to one month’s rent in advance. This change is designed to make properties more accessible to tenants while maintaining fair practices for landlords.

Establishment of a Private Rented Sector Ombudsman

A new Private Rented Sector Ombudsman is proposed to provide an independent platform for resolving disputes between landlords and tenants. This service will offer a quicker and more cost-effective alternative to court proceedings, ensuring that both parties have access to impartial resolutions for conflicts that may arise during a tenancy.

Creation of a Private Rented Sector Database

The introduction of a central database aims to improve transparency and compliance in the rental market. For landlords, the database will provide clear guidance on legal obligations, while tenants will have access to essential information to make informed decisions about their rental arrangements.

Prohibition of Rental Discrimination

The bill seeks to make the rental market more inclusive by prohibiting discrimination based on factors such as receiving benefits or having children. This measure reinforces the principle that decisions about prospective tenants should be based on their ability to meet tenancy obligations rather than discriminatory criteria.

Ban on Rental Bidding

Rental bidding, where tenants offer higher rent than the advertised price, will be prohibited under the bill. This measure is intended to promote consistency and transparency in rental pricing, ensuring that advertised rents remain fair and reflective of market value.

Right to Request Pets

Under the proposed legislation, tenants will have the right to request permission to keep pets, and landlords will be required to consider such requests reasonably. While this aims to support tenants who view pets as part of their households, it also ensures that landlords retain discretion to manage their properties appropriately.

Implementation of the Decent Homes Standard

The bill introduces the Decent Homes Standard to the private rented sector, introducing minimum property standards. These include requirements to address serious health and safety hazards, ensure properties are in good repair, and provide modern facilities. This reform seeks to ensure rental properties are fit for habitation, benefiting both tenants and responsible landlords.

Balancing the Interests of Landlords and Tenants

The Renters’ Rights Bill introduces significant changes that will shape the private rented sector. While the reforms aim to enhance security and fairness for tenants, they also provide landlords with clear guidelines and a framework to ensure compliance and accountability.

With the Renters’ Rights Bill introducing significant changes, now is the time to seek professional guidance to ensure you’re fully prepared.

Contact us today to learn how we can help you navigate these reforms and protect your interests.

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