A brief debate in the House of Commons yesterday afternoon saw the long-anticipated Renters Rights Bill complete its final stage before Royal Assent.
It will now become law on a date to be confirmed, but expected to be later this month.
The Commons debate was mainly a formality after the Lords debate last week settled most of the outstanding issues. The government will announce its plans for implementation in the coming weeks.
Some elements of the legislation – such as the abolition of Section 21 and the shift to periodic tenancies – will come into force on the commencement date, which will likely be somewhere between April and June 2026. Others – such as the establishment of an Ombudsman and the application of the Decent Homes Standard to the PRS – have less clear cut timelines.
There was one last-minute acceptance of an amendment. The government agreed to the exempting of a small number of shared ownership properties from a key measure.
Under the Bill there will be a 12-month protected period at the beginning of a tenancy, during which landlords cannot evict renters to move in or sell up. However, the government has now accepted an amendment from Conservative peer Lord Young of Cookham, meaning the ban will not apply to shared owners who have been seen to make a genuine effort to sell the property
The peer says the exemption protects people who find it difficult to sell shared ownership homes and are forced to sublet if they want to move to a new home.
In response to the movement of the legislation towards Royal Assent, Nathan Emerson, chief executive of Propertymark, comments: “While there are still important details to be finalised, it’s now beyond doubt that major change is coming. Letting agents and landlords must begin preparing now.
“Delaying action risks being left behind when the legislation takes effect. Propertymark continues to call for clear guidance, realistic timelines, and workable solutions that recognise the operational realities of agents and landlords alike.”
William Reeve, chief executive of Goodlord, comments: “Three and a half years after it was first mentioned in a Queen’s Speech, this seminal piece of legislation is now finally winging its way onto the statute books. This gives agents and landlords a small window in which to get their house in order. It’s absolutely essential that anyone with their head still in the sand about the legislation pulls it out sharpish. This legislation is real, vast and can no longer be ignored.”
However, not everyone in the wider property sector is opposed to the Bill.
Charles Roe, director of mortgages at UK Finance, says: “The Renters Rights Bill is a positive step for tenants and the housing market. The scale of the reforms means the pace of implementation is critical. Lenders, landlords, tenants, and agents will need sufficient time to adjust systems and processes, so that the Bill delivers its intended benefits smoothly and without disruption.”
The Government has yet to say whether it will confirm an implementation date for provisions to be introduced at Royal Assent, or a later date.
