The government has written to Conservative MPs promising changes to the Renters Reform Bill to ease concerns over its anti-landlord bias.
Jacob Young, a junior housing minister, tells MPs: "We will bring forward an amendment to require the Lord Chancellor to publish an assessment on barriers to possession... in advance of abolishing s21 for existing tenancies."
Amendments the Government plans to table to the Bill include:
- Accepting a proposal by the cross-party housing select committee that when fixed term tenancy agreements end, “tenants be unable to give two months’ notice to leave until they have been in a property for at least four months";
- Reviewing the operation of the courts before ending section 21 for existing tenancies to ensure the justice system can cope with the increased workload;
- Ensuring all types of student housing, including one and two bed properties, are covered by the planned ground for possession to protect the annual cycle of the student housing market. This will ensure landlords can guarantee to prospective students that properties will be available to rent from the start of each academic year;
- Reviewing the need for local authority licensing schemes in light of the proposed property portal, an idea contained in the Renters Reform Bill.
Timothy Douglas, Head of Policy and Campaigns at Propertymark comments: “Propertymark is pleased to see amendments from the UK Government that help to address some of the key concerns of letting agents and strike a fairer balance of security for both landlords and tenants.
“We have worked hard on behalf of agents to highlight the unintended consequences of removing fixed-term tenancies, including, crucially, those for student housing. The UK Government’s commitment to review the implementation of the move to open-ended tenancies and establish an initial six-month tenancy period for tenants, does provide more certainty for agents and their landlords.
“Propertymark has also long said that the key to the success of the Renters (Reform) Bill is a swift, efficient, and cost-effective court system, so it is also pleasing to see the UK Government commit to further assessments and measures to ensure the current inadequacies that exist in the court system are tackled before removing no-fault evictions.
“There is still a long way to go before the Renters (Reform) Bill becomes law, so Propertymark will continue to champion the role of property agents and iron out further unintended consequences to ensure the legislation works in practice for all.”
And Ben Beadle, Chief Executive of the National Residential Landlords Association says: “All the rumour, speculation and off-the record briefings about the future of the Bill has caused a huge amount of concern and uncertainty for tenants and responsible landlords.
“The Government has a mandate to end section 21 repossessions. Our focus has been on ensuring that the replacement system works, and is fair, to both tenants and responsible landlords. The changes being proposed would achieve this balance.
“Ministers now need to crack on to ensure the Bill can proceed with the scrutiny it deserves.
“The lack of progress and uncertainty about the future is destabilising and damaging for those living and working in the private-rented sector. It is time to bring this to an end.”
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Is the government aware that an extremely large number of flat leases, created since the introduction of assured shorthold tenancies, have a clause which does not allow leaseholders to let their flats out on tenancies that do not have a fixed end date, and this is usually restricted to 1 year? When the law, abolishing fixed term tenancies, comes into place this will decimate the supply of rental properties even more than is currently the case.
WHAT?!?!
Do these dreadful, uniformed, uncaring, self-interested people who obviously know next to nothing about the PRS *really* believe a piffling little tinker with one or two of their irredeemably flawed proposed provisions (that should ALL be scrapped on their entirety, not just tweaked a knats) is somehow going to:
"....ease concerns over its anti-landlord bias"?
Who do they think they are fooling....? Who is this window-dressing supposed to be for?
....mind you, being fools themselves to start doesn't help them....
No intelligent, experienced landlord could possibly be reassured or satisfied by any such trivial but in practice entirely token, unworkable, academic and toothless pretence of a compromise.
All that will happen is the likes of Ms.P.N. of Shelter, and Generation Rent-a-mob will automatically go into a ranting rage about how landlords and agents must never be pandered to or given any concessions at all but instead even more should be taken from them (us) in terms of rights, protections and any chance - no matter how diminished and increasingly unlikely - of running a PRS business as a going concern.
None of this noise matters. Labour are going to use their majority to press ahead with further damaging the PRS, and supply will plummet, causing further increases to rents. I hope Shelter are happy with the effect they continue to have on the sector...
I think Shelter will be very happy John. It gives them a reason to exist and extract more donations from people that don't understand what they are about.
Baffled how the legal system was not reviewed at any point over the last 5 years??!!
The 6 month tenancy (then periodic) does cut down on renewal admin however it will also certainly see an increase in just 6 month tenancies. As every agent incurs costs and charges landlords for each tenancy this in turn will result in rents increasing. Unintended consequence perhaps.
Take the government line squeeze em till the pips squeak
The government seems its always is racing to produce a new amendment in law just for self profile in seeming they have delivered, this is definitely designed for the corporate investors take market share from the individuals. This intended consolidation strategy will do a full circle.
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