Millions of pounds are being given to local councils to improve enforcement when the Renters Rights Act kicks in on May 1.
All 317 local authorities in England are getting a share of £60m in total ahead of the Act coming into force.
The total comprises of £41.12m in new funding following an initial £18.2m allocated to councils last autumn.
A statement from the government says: “To ensure justice is delivered for both renters and landlords up to £50m will be invested to modernise the civil courts and this includes digitalising court processes.
“Further still, an additional £5m is being invested into fee uplifts for the housing legal aid sector each year, so all renters can continue to access free help and support in the event of facing eviction from their home.”
New powers for councils coming on May 1 include:
- A duty to enforce: councils will be legally obliged to make sure landlords are complying with the new rules that ban old practices like rental bidding wars, discrimination against tenants with kids or receiving benefits and ‘no-fault’ evictions;
- Bigger fines: landlords seriously or repeatedly breaking the law will now face higher fines of up to £40,000 – up from £30,000;
- Rent Repayment Orders will also be heftier if the rules aren’t being followed – going from one year’s worth of rent to two years – and tenants can challenge offences going back to two years, up from one year.
This follows expanded investigatory powers that came into force last December for councils to carry out ramped up, more thorough investigations where they suspect landlords are breaking the law – from the entering the premises without having to give prior notice to landlords to accessing information from third-parties like banks and accountants.
Housing Secretary Steve Reed says:
“It’s less than a month until the Renters’ Rights Act begins to transform our private rented sector – a huge manifesto commitment.
“We’ve been preparing councils to use their new powers on the minority of landlords who rip off their tenants and this new funding will help councils carry out their duties.
“Stronger powers and fines will help deter wrongdoing in the first place, as we work towards a better rental system that’s fairer to tenants and good landlords.”
The chief executive of the National Residential Landlords Association, Ben Beadle adds: “Rogue landlords have no place in the private rented sector and every effort should be made by local authorities to drive them from the market.
“This announcement demonstrates that the government is serious about tackling those who bring the sector into disrepute and supporting those responsible landlords who provide decent and secure homes for renters.”
