Doubts over timing of HMRC rent challenge changes

Doubts over timing of HMRC rent challenge changes


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There’s now uncertainty over a proposed change to how tenants can challenge rent increases.

Last week the Ministry of Housing, Communities and Local Government announced that HMRC’s Valuation Office Agency will take responsibility for initial decisions on rent increase challenges in England.

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Currently, tenants who want to challenge an increase must apply to the First-tier Tribunal.

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That system will remain in place while the government develops the new service.

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But housing minister Matthew Pennycook is quoted as saying that this change may require additional legislation “when Parliamentary time allows.”

Under the Renters Rights Act landlords are limited to only one rent rise a year and at the local market rate.

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Aggrieved tenants can challenge allegedly excessive rents.

Pennycook adds: ‘By transferring responsibility for making initial rent determinations to HMRC’s Valuation Office, we will ensure that challenges to proposed rent increases are determined faster and pressure on the tribunal system is reduced, giving tenants and landlords confidence that rent disputes will continue to be resolved efficiently and effectively.’

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