The Renters’ Rights Bill is a major piece of legislation introduced in September 2024, aimed at reforming the private rented sector in England. The bill aims to enhance tenant protection, improve general standards of accommodation, and rebalance the relationship between tenants and landlords. The proposed reforms will apply to both new and existing tenancies simultaneously to avoid the creation of a two-tier system. The bill was introduced to Parliament in September 2024, and has progressed through the House of Commons, with a third reading completed in January 2025. It is currently being scrutinised by the House of Lords and if passed without significant amendments, is expected to become law by Summer 2025.
In anticipation of the bill becoming law, Tandem has been briefing clients on the key changes and our positive response, establishing a high-quality professional residential property management service.
Summary of Key Changes
- All tenancies will become periodic, allowing tenants to stay indefinitely unless they choose to leave or breach the tenancy agreement. At the same time there will be an end to the so-called ‘no fault’ evictions (Section 21 notices) and Landlords will no longer be able to evict tenants without a valid reason.
- Landlords will still be able to regain possession under specific circumstances, including the sale of a property or use for the owner’s occupation, but there will be more scrutiny in these cases and four months’ notice will be required.
- Rent increases will be limited to once a year and will need to be evidence-based. Landlords must serve a Section 13 Notice to notify tenants of any rent increase and tenants will be able to challenge unreasonable increases through a First-Tier tribunal.
- A new dedicated Ombudsman will be established to handle disputes and tenant complaints against landlords and all landlords will be required to register with the Ombudsman. The aim is to will be to seek dispute resolutions quickly and cost effectively for both parties.
- A new database will require landlords to register themselves and each property and will provide them guidance on their obligation and will require evidence of compliance with legal standards. This will provide more transparency for tenants and help them make more informed choices when selecting a property and throughout their renting journey. .
- The new database will set out quality standards to help to improve living conditions for tenants and tackle the issues of substandard housing.
- Landlords will have to consider tenant requests for pets, but they will be able to request suitable pet insurance to cover any potential damage caused.
- It will be illegal to discriminate against tenants and landlords must consider each applicant fairly. It is particularly important to prevent discrimination against families and those receiving benefits.
- The Renters’ Rights Bill will extend Awaab’s Law* to privately rented homes to ensure that all renters in England are empowered to challenge dangerous conditions and that all landlords must take swift action to make sure homes are safe.
- The Bill will end the unfair practice of pitting renters against each other in bidding wars. By outlawing rental bidding, we will level the playing field for renters. The bill will also ban landlords from asking tenants to bid more than the advertised rent price to ensure more fairness in the rental process.
- It is anticipated that the Government will introduce a generic periodic tenancy agreement which may take effect immediately, meaning any rent review clauses in existing tenancies will become unworkable.
While the majority of landlords provide a good service, the private rented sector currently provides the least affordable, poorest quality and most insecure housing of all tenures. A strong private rented sector can provide a secure stepping stone for aspiring homeowners and flexibility for those who want it. But too often insecurity within the current tenancy system fails tenants looking for a stable home and decent landlords who are undercut by absent owners and poor property managers.
The Renters Rights Bill focuses on the Landlords responsibilities and the importance of a positive, high quality and professional property management service, which protects the interests of both tenant and landlord. At Tandem we strongly believe the bill will help maintain and enhance investment value and will help to improve overall standards of accommodation and management. Some details of the bill remain unclear until it is officially passed but in preparation for the bill’s implementation, Tandem is already working with our clients to review current rents to ensure they are aligned with market values alongside a broader review of tenants’ status and suitability. A clear focus on tenant communication, document and compliance management as well more regular inspections will establish robust data, build knowledge and raise awareness of problems.
It is important to note that the bill’s details may evolve as it progresses through Parliament and although it is expected to come into effect in Summer 2025, potential delays could push the timeline to the end of the year.
*No-one should be forced to live in a home that is unsafe. Following the tragic and avoidable death of 2-year-old Awaab Ishak due to prolonged exposure to mould in his social rented home, the Manchester Evening News, Shelter and the Ishak family led a campaign for ‘Awaab’s Law’. This was introduced for social housing through the Social Housing (Regulation) Act 2023.
Full details of the Bill can be found via this link.
For further information on Tandems approach and service, please contact our residential team:
| Wayne Aryitey Senior Property Manager | Elliot Davies Associate Director | Kenzom Bhutia Junior Property Manager |
Watch This Short Video
Tandem’s residential team in London discuss the recent rent and fire safety reforms and the effects these changes are having on landlords and tenants in this short video. They give their views on Tandem’s personal approach to residential property management and look at some recent success stories. Stay tuned until the end of the video to find out what the best pub in Marylebone is for a post-work drink!
Thanks to Elliot Davies, Wayne Aryitey and Kenzom Bhutia for taking part.
View more of Tandem’s videos on our Vimeo page.