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Renters a step closer to more protection

Renters a step closer to more protection
Emma Lunn
Written By:
Posted:
09/10/2024
Updated:
15/10/2024

The Renters’ Rights Bill, which was introduced in the House of Commons last month, is scheduled to have its second reading today.

The bill, which will be put forward by deputy Prime Minister Angela Rayner, will be debated for the first time by MPs as the Government looks to overhaul the rental market and offer tenants more protection.

The Government said the bill delivers on the Labour manifesto’s commitment to overhaul the experience of renters.

The proposed legislation includes banning Section 21 so-called ‘no-fault’ evictions across new and existing tenancies. Ministers said this will give 11 million private renters immediate security and assurance so they can stay in their homes for longer.

The bill will also clamp down on unfair rent increases and extend the Decent Homes Standard and Awaab’s Law to the private sector for the first time, significantly reducing the number of poor-quality privately rented homes and empowering tenants to raise concerns about damp, dangerous and cold homes.

Rayner said: “I am determined to get this bill into law as soon as possible. The thousands of children and families living in unsafe housing or under the cruel threat of a Section 21 eviction notice have been waiting far too long already.

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“We will deliver on our promise to renters and transform the sector into one where families can put down roots, where children can grow up in healthy homes, and where young people can save for their future.”

Under the bill, landlords will only be allowed to raise the rent once per year and only to the market rate, which Labour said will put an end to unfair hikes. Tenants will get a quicker resolution to disputes, cutting down on the need to go through the courts through a new ombudsman service.

Local councils will be given stronger powers to crack down on unscrupulous landlords. Maximum fines will be increased to up to £40,000 for serious offenders.

There will also be a new database for landlords to share important information on their property standards, showing their compliance with the law and helping councils drive out criminal landlords.

Tenants will be able to request to have a pet and landlords will not be able to unreasonably refuse, with “unfair” decisions challenged.

However, landlord groups have criticised the bill, saying it will deter more landlords from the sector.

Research by Tlyfe, a tenant app launched by OpenBrix, suggests that the number of tenants fighting it out per rental property is estimated to increase in 2024, as the rental market imbalance between supply and demand continues to return back towards pre-pandemic highs. It said this issue will become “all the more prominent” as a result of the Renters’ Rights Bill.

Adam Piggot, CEO of OpenBrix, said: “The rental market is incredibly fast-paced and this is due to the fact that tenant demand has grown substantially whilst the level of available stock simply hasn’t kept pace.

“Whilst positive in its intentions, the Renters’ Rights Bill looks set to further widen the gap between the supply of rental homes and the level of tenant demand seen across the market, the result of which will be further rent increases and an even tougher task in securing a property for those who can afford it.”