The Renters’ Rights Bill intends to reform the law applicable to private renting, impacting landlords and tenants of residential property.
Assured shorthold tenancies will cease to exist under the Bill. Instead, all tenancies will become periodic, with tenants permitted to end the tenancy at any time with 2 months’ notice. Existing fixed-term tenancies will be converted to periodic tenancies once the Bill is introduced. So-called ‘no-fault evictions’ will be abolished, granting more security to tenants.
Before a landlord can obtain possession of the property, they will need to prove that one of the grounds for possession, as outlined in the Bill, has been met.
The government previously indicated that the Bill will become law by Summer 2025, although this has not been officially confirmed. We comment on the Bill as it stands at the date of this note. Amendments are possible as it passes through Parliament.
Abolition of fixed term tenancies
The Bill will abolish fixed-term tenancies, so that tenants may remain at the property until they serve not less than 2 months’ notice, or until the landlord ends the tenancy in one of the limited ways permitted by the Bill.
The Bill provides for various grounds – some mandatory, others discretionary – upon which a landlord can obtain possession of the property. If a landlord establishes that a mandatory ground exists, the Court must grant possession and end the tenancy. If the ground is discretionary, the Court may grant possession if it considers it is reasonable to do so.
In every case the landlord must provide evidence to the Court that the selected ground is satisfied. The notice periods vary for each ground ranging from 2 weeks to 4 months.
If the tenant does not vacate the property after being served with a notice of possession, the Court will fix a hearing before it grants a possession order. The landlord will need to prove that they satisfy the ground for possession set out in the notice. This will be a longer and more costly process than the current regime which allows the Court to make a possession order without a hearing.
Mandatory grounds for possession
The mandatory grounds for possession include the following:
| Ground | Notice period |
| The landlord or their close family member wishes to move into the property | 4 months |
| The landlord wishes to sell the property | 4 months |
| The landlord’s lease is under a superior tenancy that is ending | 4 months |
| The property is subject to a mortgage and the lender exercises a power of sale requiring vacant possession | 4 months |
| The landlord requires possession to house someone who will be employed by them as an agricultural worker | 2 months |
| The dwelling was let as a result of the tenant’s employment by the landlord and the employment has come to an end | 2 months |
| The landlord wishes to redevelop the property, which cannot be done with the tenant in situ | 4 months |
| The tenant has been convicted of a criminal offence or has breached an anti-social behaviour order | Landlord can begin proceedings immediately |
| The tenant has at least 3 months’ rent arrears | 4 weeks |
Discretionary grounds for possession
The discretionary grounds for possession include the following:
| Ground | Notice period |
| The tenant is in any amount of rent arrears | 4 weeks |
| The tenant has persistently delayed paying their rent | 4 weeks |
| The tenant has breached one of the terms of their tenancy agreement | 2 weeks |
| The tenant has caused the condition of the property to deteriorate | 2 weeks |
| The tenant or anyone in their property has caused nuisance or annoyance to the landlord or anyone else living in the property | Landlord can begin proceedings immediately |
| The tenant has been convicted of using the premises for illegal/immoral purposes | Landlord can begin proceedings immediately |
Additional matters
Rent reviews
Landlords will only be able to increase rents once per year to the market rate. They will need to give at least 2 months’ notice of the rent increase taking effect. A tenant may challenge a rent increase by application to the First-Tier Tribunal.
Rent in advance
Landlords will be prohibited from requesting more than 1 month’s rent upfront when entering into a tenancy agreement.
Renting with pets
If a tenant requests to keep a pet in their home, a landlord cannot reasonably withhold their consent. The landlord may, however, insist that the tenant obtains insurance covering any damaged caused by the pet.
Rental bidding
Rental bidding will be banned. Instead, landlords will be required to publish an asking rent for their property and they will not be able to ask for or encourage bids above this sum.
Prohibiting rental discrimination
Discriminatory rental practices will be prohibited, to protect families with children and people who receive benefits. This will address overtly discriminatory practices (such as ‘No DSS’ adverts), as well as indirect practices intentionally designed to prevent families with children or people who receive benefits from entering a tenancy.
Decent Homes Standard
Regulations will be implemented to introduce a Decent Homes Standard to privately rented homes. Landlords will need to adhere to these regulations, by ensuring that they provide decent housing and a good service for their tenants. Local councils will be able to enforce these regulations and can issue civil penalties if landlords do not take reasonably practicable steps to keep their properties free of serious hazards.
