HUGE changes to renting rules in the UK will come into effect from 1 May next year.
The government has published the timeline for rolling out new legal protections from the Renters’ Rights Bill – and there are seven big changes to take note of.
The Renters’ Rights Bill received Royal Assent in October and aims to give better security and protection to 11 million renters across the country.
Here’s what you need to know about the changes coming into force in under six months time.
No more ‘no-fault evictions’
Under new rules, private renters will no longer face being served with a ‘no-fault’ eviction notice.
Currently tenants can be evicted from their home under what’s called a Section 21 notice, once they give you at least two months’ notice.
But this will become illegal from next year, and private landlords will need a reason to evict you.
This could be if they are selling the property or you haven’t paid your rent.
Be aware that you can still be evicted under a Section 21 notice between now and when the law comes into force next year.
Goodbye to fixed contracts
Fixed contracts will be scrapped, and all tenancies in the private rented sector will roll on from a month to month or week to week basis.
There will be no end date, giving renters more flexibility to move when they want.
Tenants will be able to end contracts with two months’ notice.
This marks a big change from the current set-up, as most tenants have a fixed-term agreement typically lasting between six and 24 months.
The government has said that these types of agreements mean renters are obliged to pay rent regardless of whether a property is up to standard or not, and makes it harder for tenants to move out.
The new law will make fixed-term agreements illegal for landlords.
Fairer rent rules
Under new protections, landlords will only be allowed to raise rent once a year.
The government also says that it will provide “stronger protections against backdoor eviction by ensuring tenants are able to appeal excessive above-market rents which are purely designed to force them out.”
No more bidding wars
With rents in the UK at an all-time high, prospective tenants often find themselves in bidding wars offering well beyond the asking price.
But under the new Bill, landlords must stick letting out properties at no more than the advertised rent price.
They won’t be able to accept offers made above this.
One month’s rent upfront max
Landlords will not be able to ask for more than one month’s rent in advance under the new laws.
Currently, there is no limit on how much they can request.
It’s also handy to know that tenancy deposits in England are capped at five weeks’ rent – or six weeks if the annual rent is £50,000 or more.
What to do if you’re struggling with rent
Below we reveal how you can get help if you’re struggling with your rent costs
Universal Credit is a payment that can help you with your living costs. You may be able to get it if you are on a low income, for example if you are out of work or unable to work because of a health condition.
The Affordable Homes Programme is available to social and private renters – and distributed by local authorities.
The programme is for people on lower incomes, and people with disabilities or special needs.
And if you’re battling to afford the cost of living, the Household Support Fund can act as a vital lifeline.
The financial support is one way for struggling families to get extra help with the cost of living.
Plus, many local authorities have Welfare Assistance schemes in place.
Help varies from free cash and food vouchers to money towards rent and energy bills.
No discrimination
It will also be illegal for landlords and estate agents to discriminate against people who are on benefits, or families with children, when looking for tenants.
However, this does not prevent landlords from refusing tenants who simply cannot afford to pay the rent based on their income.
Pets welcome
Finding a suitable place to rent is often far more difficult when you have a pet.
According to dog-sitting site Rover, a third of renters (34%) have been denied a property because of a pet or asked to pay a “pet surcharge” averaging £288.
Under the new rules, landlords can no longer unreasonably refuse tenants’ requests to have a pet.
Housing Secretary Steve Reed said: “We’re calling time on no fault evictions and rogue landlords. Everyone should have peace of mind and the security of a roof over their head – the law we’ve just passed delivers that.
“We’re now on a countdown of just months to that law coming in – so good landlords can get ready and bad landlords should clean up their act.”
What to do if you’ve been served a Section 21 notice
Here is what you can do, according to the Renters’ Reform Coalition…
Check the form – A section 21 notice must be on an official form, known as a 6a form. Your landlord can’t issue an eviction notice just by telling you in person or by text/email.
Check if the form is valid – you must be given at least two months notice to vacate a property. You also can’t be given a section 21 if your tenancy started less than four months prior. If you are on a fixed term contract you can’t receive a section 21 unless there is a break clause in it.
These things can also make a section 21 notice invalid:
- The council has given your landlord an improvement notice to fix things, or an emergency works notice, in the last 6 months.
- Your deposit isn’t in a deposit protection scheme. In that case the landlord must return it to you before they can issue a section 21.
- The property is a House in Multiple Occupation (HMO) but it doesn’t have a HMO licence from the council. In some areas all rented properties need a licence – check with your council.
- The landlord has charged you illegal fees – such as a deposit worth more than 5 weeks rent, or admin fees. In this case they must return the money to you before serving a section 21.
- You never received key paperwork for the property – the Energy Performance Certificate, the ‘How to rent’ guide, and a gas safety certificate (if there is gas).
What to do if the section 21 is valid:
You don’t have to leave the property at the end of your section 21 notice. Your landlord still has to apply to court for a possession order and a warrant for eviction, to use court bailiffs to evict you.
If you are remaining in your property after the end of a section 21 notice, make sure you inform your landlord and continue to pay rent while you look for another place to live.
If you can’t find somewhere to rent and are facing homelessness, tell your council immediately. They should be able to advise you on what to do and provide emergency temporary accommodation or other support.
