Comment COMMENT
The Labour Renters’ Rights Bill
Allison Thompson of Leaders Romans Group (LRG) discusses the key changes & impact on the Labour government recently introduced Renters’ Rights Bill.
T
he Renters’ Rights Bill, introduced by the Labour government, brings substantial changes to the private rental sector. It builds on, but also diverges from, the previous Conservative-led Renters’
(Reform) Bill, which saw its progress through Parliament stalled by the general election, while focusing on bolstering tenant rights and adding more stringent landlord obligations.
KEY DIFFERENCES BETWEEN THE CONSERVATIVE & LABOUR BILLS PERIODIC TENANCIES & ABOLITION OF ASSURED SHORTHOLD TENANCIES Te Labour Renters’ Rights Bill intends to mandate that all assured tenancies become periodic. Tis means there would no longer be fixed-term assured tenancies; instead, tenancies would continue indefinitely until either party serves notice. Tis approach enhances tenant security, as they are no longer bound by time limits or face sudden eviction at the end of a fixed term. In addition, assured shorthold tenancies would be abolished, moving all agreements to a periodic assured tenancy model.
ABOLITION OF SECTION 21 “NO-FAULT” EVICTIONS Te abolition of Section 21, oſten referred to as “no-fault” evictions, is a shared element between the Conservative and Labour proposals. However, Labour’s proposed Renters’ Rights Bill takes a more immediate approach. In contrast, the
Conservative Renters (Reform) Bill aimed for a phased removal of Section 21, contingent upon court reforms.
RENT CONTROLS & ANTI-BIDDING MEASURES Labour’s version includes provisions that limit in-tenancy rent increases to just once per year, and these increases must align with market rates. Additionally, Labour would introduce a ban on rental bidding wars, preventing landlords from accepting offers above the advertised rent. Tis adds more robust protection compared to the Conservative version, which permitted annual increases but lacked specific limitations against sharp hikes designed to push out tenants.
DECENT HOMES STANDARD & AWAAB’S LAW Both the Conservative and Labour bills introduced the Decent Homes Standard for the private rental sector. However, Labour’s proposal incorporates “Awaab’s Law,” which mandates stricter timelines for addressing health hazards, such as damp and mould. Landlords would now be required to inspect reported issues within 14 days, notify tenants of planned actions within a week, and carry out repairs within 28 days unless more time is needed. Te Conservative version did not include these specific timelines, making Labour’s approach more tenant- focused in ensuring timely property maintenance.
24 | HMMOctober/November 2024 |
www.housingmmonline.co.uk
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