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The Renters’ Rights Bill entered the committee stage in the House of Lords from 22nd April 2025. In previous reports, the Bill was expected to be passed into law by spring or summer this year. However, more recent information is alluding to the changes being postponed until autumn 2026.
Abolishment of the Section 21
Ultimately, the Bill is likely to be introduced shortly, either watered down or with all the proposed changes introduced. One of the most significant changes is the abolishment of the Section 21, no fault eviction notice. This means landlords and lettings agents will have to rely on the Section 8 notice to initiate the eviction process. A Section 8 notice can only be served upon tenants who are in two months’ arrears, and some say this may result in accrued arrears across the country. With this in mind, Robinson & Hall is taking necessary steps to prepare for such an eventuality, including the optional addition of recommending to landlords to take out a rent and legal policy at the start of each tenancy. The policy offers landlords additional protection including access to legal experts if they need to gain possession of the property and also ensures the rent is paid whilst the tenant is in arrears and still occupying the property.
Bidding Wars
In an aim to prevent inflated rents, lettings agents will no longer be able to accept bids over the asking price, which will therefore bring an end to bidding wars. This means it is imperative that a landlord chooses the correct agent to value an investment property to ensure market value rent is achieved. Our lettings team carries out market appraisals prepared with comprehensive reports which show the yearly growth in rents in the local area and recently let properties (often properties we have let previously) to ensure landlords are aware of what is a realistic return on their investment.
End of Fixed Term Tenancies
The law intends to give tenants flexibility by introducing assured periodic tenancies to replace fixed terms contracts. However, tenants will be required to give two months’ notice, which is an improvement on the current required one month’s notice, to allow time to source replacement tenants.
Rent Reviews
It is possible to propose an annual rent increase in line with market value rents and evidence of comparable properties to be supplied on request. This means it is necessary for an agent to supply accurate rental figures to the landlord each year as tenants can raise a dispute with the First Tier Tribunal.
Decent Homes Standard
Under this law, agents and landlords will be required to address serious repairs that are classed as health hazards. Within our management service, regular routine inspections are completed to address issues swiftly and efficiently.
Pets
Agents and landlords will no longer be able to refuse tenants with pets. However, Robinson & Hall will request that tenants take out pet insurance to protect our landlords and cover any potential damages caused by the pet.
To organise a no-obligation lettings appraisal or if you have any concerns about the new legislation, then please contact me.
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