Latest news with #Renters'ReformBill
Yahoo
4 days ago
- Business
- Yahoo
Labour urged to publish impact of rent reforms as eviction delays soar
Ministers are being urged to publish a report into the impact of rental reforms on the courts as landlords face eight-month delays to repossess their property. Government departments are required to complete a justice impact assessment for any new bills that are likely to impact the UK courts system. Labour's Renters' Reform Bill is set to become law this summer and will include the removal of Section 21 'no-fault evictions'. There are fears the change will force landlords to rely on the courts to regain possession of their properties, adding to existing backlogs. Private landlords faced an eight-month wait from making a claim to the courts to their properties being repossessed in the first four months of 2025, according to the latest government data. Chris Norris, chief policy officer for the National Residential Landlords Association, said: 'The justice system is simply not ready for the impact of the Bill. 'In the interests of transparency, the Government should publish the Justice Impact test. The Government also needs to come clean about how it defines the courts being ready for the reforms. Warm words are no substitute for clear objectives for the justice system.' Justice impact assessments are an internal process and not usually published by government departments, but previous ministers have committed to publishing court reviews ahead of implementing rental reforms. The former Levelling Up, Housing and Communities Committee in a 2023 report said: 'It is not clear whether the Government fully appreciates the extent to which an unreformed courts system could undermine its tenancy reforms.' Furthermore, in a consultation in 2022, the then-government acknowledged that Section 21 was preferred by landlords to other means of eviction – such as Section 8 – as it was perceived as 'quicker and more certain'. Richard Atkinson, president of the Law Society, said of the Renters' Rights Bill: 'The bill will not be effective without further investment in the justice system.' Mr Atkinson also urged the Government to 'provide greater funding and more clarity to the enforcement provisions so that justice is accessible to renters and landlords alike'. In addition to concerns about the justice system, a report has warned impacts of the bill will add almost £900 a year to the average tenancy. The legislation will limit landlords to just one rent increase per year capped at the 'market rate' – the price that would be achieved if the property was newly advertised to let. Landbay said property owners were planning to increase rent by an average of 6pc, which would add £74 to the average monthly rent, or £888 a year. Dr Neil Cobbold, director at property software company Reapit UKI, said: 'The Government's decision not to share the Renters' Rights Bill justice impact test raises serious questions about transparency and accountability. The estimate of changes in the number of court and tribunal cases is a vital tool for understanding how the legislation will affect the property sector – including case volumes – and whether the justice infrastructure is in place to support the change.' The Bill is currently going through the House of Lords before being sent back to the Commons and is expected to receive Royal Assent by summer 2025 and be implemented before the end of the year. An MHCLG spokesman said: 'As was the case under previous governments, Justice Impact Tests are internal government documents and it is not standard practice for them to be published. 'We are fully focussed on ensuring the justice system is ready for our reforms, which will create a fairer housing market, and are working closely with the Ministry of Justice and HM Courts and Tribunal Service to ensure all necessary preparations are in place.' Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.
Yahoo
4 days ago
- Business
- Yahoo
Labour urged to publish rent reforms impact report as eviction delays soar
Ministers are being urged to publish a report into the impact of rental reforms on the courts as landlords face eight-month delays to repossess their property. Government departments are required to complete a justice impact assessment for any new bills that are likely to impact the UK courts system. Labour's Renters' Reform Bill is set to become law this summer and will include the removal of Section 21 'no-fault evictions'. There are fears the change will force landlords to rely on the courts to regain possession of their properties, adding to existing backlogs. Private landlords faced an eight-month wait from making a claim to the courts to their properties being repossessed in the first four months of 2025, according to the latest government data. Chris Norris, chief policy officer for the National Residential Landlords Association, said: 'The justice system is simply not ready for the impact of the Bill. 'In the interests of transparency, the Government should publish the Justice Impact test. The Government also needs to come clean about how it defines the courts being ready for the reforms. Warm words are no substitute for clear objectives for the justice system.' Justice impact assessments are an internal process and not usually published by government departments, but previous ministers have committed to publishing court reviews ahead of implementing rental reforms. The former Levelling Up, Housing and Communities Committee in a 2023 report said: 'It is not clear whether the Government fully appreciates the extent to which an unreformed courts system could undermine its tenancy reforms.' Furthermore, in a consultation in 2022, the then-government acknowledged that Section 21 was preferred by landlords to other means of eviction – such as Section 8 – as it was perceived as 'quicker and more certain'. Richard Atkinson, president of the Law Society, said of the Renters' Rights Bill: 'The bill will not be effective without further investment in the justice system.' Mr Atkinson also urged the Government to 'provide greater funding and more clarity to the enforcement provisions so that justice is accessible to renters and landlords alike'. In addition to concerns about the justice system, a report has warned impacts of the bill will add almost £900 a year to the average tenancy. The legislation will limit landlords to just one rent increase per year capped at the 'market rate' – the price that would be achieved if the property was newly advertised to let. Landbay said property owners were planning to increase rent by an average of 6pc, which would add £74 to the average monthly rent, or £888 a year. Dr Neil Cobbold, director at property software company Reapit UKI, said: 'The Government's decision not to share the Renters' Rights Bill justice impact test raises serious questions about transparency and accountability. The estimate of changes in the number of court and tribunal cases is a vital tool for understanding how the legislation will affect the property sector – including case volumes – and whether the justice infrastructure is in place to support the change.' The Bill is currently going through the House of Lords before being sent back to the Commons and is expected to receive Royal Assent by summer 2025 and be implemented before the end of the year. The Ministry of Housing, Communities and Local Government was approached for comment. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Telegraph
04-03-2025
- Telegraph
Your rights as a landlord – and how you can still evict a tenant
The Renters' Rights Bill currently in the House of Lords is a more comprehensive version of the Renters' Reform Bill which was brought to parliament under the previous government. The new bill brings an end to 'no fault evictions' leaving landlords worried about removing problem tenants. But there are still ways to remove troublesome tenants, even after the bill is passed, most likely at some point in 2025. If you are faced with a rogue tenant, then here is what you need to know in order to legally evict them, once Section 21 has been abolished. In this article, we will cover: What are the current eviction rules? Until now landlords have been able to use Section 21 to evict renters at the end of their tenancy without providing justification, as long as they give them two months' notice. Landlords can still use Section 8 to get rid of tenants who wreck the property or stop paying rent. However, this involves going to court, which can take months. A problem tenant is any landlord's worst nightmare, costing potentially thousands of pounds in damage or unpaid rent – in the past Telegraph Money has heard of rogue tenants who set up cannabis farms in the loft and others who filled the house with rotting trout. During the pandemic, the government imposed a ban on evictions. Ever since this was lifted in 2021, there has been a surge in landlord possession claims and evictions, according to the Ministry of Justice. Almost 20,000 households were served a Section 21 notice last year, more than double the number in 2021, as landlords rushed to regain control over their properties before Section 21 was scrapped. Evicting problem tenants after the Renters' Rights Bills There are still ways you can evict problem tenants even after the Renters' Rights Bill comes in. Those include: Anti-social behaviour Property damage Unpaid rent Anti-social behaviour The Government recently revealed an action plan to help landlords crack down on anti-social tenants, although no date for new powers has been decided. Currently, landlords can only end a tenancy over anti-social behaviour if there is a conviction. The new proposals would remove the requirement for a conviction, meaning an eviction could be obtained by a landlord on evidence alone. James Wood, of the National Residential Landlords Association, said anti-social behaviour is notoriously difficult to prove. 'Most of the victims will be the immediate neighbours or other tenants, who are understandably scared of providing evidence in court.' If there are reports of anti-social behaviour, give the other tenants and neighbours a channel to report the information confidentially. Ideally, they should keep an evidence log of when and where incidents occur, as this will strengthen your case if it goes to court. Reporting the behaviour to the police or local authority could also help here. You should warn the tenant that their behaviour is not acceptable, without identifying the informer. If the behaviour persists, then you will have to serve a possession notice. Read more on these below. Property damage Some wear and tear is to be expected over the length of the tenancy. But if the tenant has caused damage to the property, the cost can be deducted from the deposit. There is a clear difference between natural wear and tear and property damage. Scratches on the wall and appliances that have broken down are examples of natural wear and tear, whereas cigarette burns on a carpet, a broken chair, or an overloaded plug socket constitute damage. Before renting out the property, it is best to complete an inventory report with the items in the property but also the condition of those items. If deducting costs from the deposit, this must be on a like-for-like basis. You cannot charge a tenant for the cost of a new premium mattress if they damaged a cheap one. Unpaid rent There has been a rise in the number of landlords chasing unpaid rent from tenants since the pandemic began. Last year instructions for rent debt recovery services surged by 180pc compared to the previous 12 months, according to Landlord Action, an eviction firm. Paul Shamplina, founder of Landlord Action, said that if a tenant stops paying rent, the landlord should get in touch as soon as possible. Hopefully, the problem is only temporary and you can compromise. Mr Shamplina said: 'A good tenant doesn't turn rogue overnight.' However, if a compromise cannot be reached, and if the rent goes unpaid for more than two months, the landlord can decide to serve a Section 8 notice. This gives the tenant 14 days' notice to pay. If the rent still has not been paid, the landlord would have to apply to the courts for a possession order and a money order. Mr Wood said: 'Alternatively, landlords can apply via Money Claim Online for a judgment for just the arrears if they still want the tenancy to continue.' Money Claim Online is an online portal, operated by HM Courts & Tribunal Service, which allows claims to be made for up to £100,000. Mr Shamplina added: 'If at this point the tenant still does not pay, the landlord would have to instruct bailiffs.' If a tenant has been in at least two months' arrears three times in the previous three years, this is grounds for mandatory eviction. How to legally evict a tenant You must give your tenant appropriate notice that you wish for them to leave the property. With Section 21 abolished, you must use Section 8 notice under the Housing Act 1988. How landlords deal with bad tenants How to use Section 8 Section 8 can be used where the landlord has grounds for eviction including property damage, rent arrears or anti-social behaviour. However, you will need to have evidence to back up your claim if your tenant takes you to court. Mr Wood said: 'Because of the lack of certainty in this route, most landlords prefer to use Section 21 to deal with cases where the tenant is in arrears or is anti-social.' You must fill in a 'Notice seeking possession of a property let on an assured tenancy or an assured agricultural occupancy'. On this form you should specify what terms of the tenancy have been breached. You should give between two weeks' and two months' notice, depending upon which terms you are relying. How to make a possession order If your tenant refuses to leave after receiving notice then you can serve a possession order. This requires you to fill in a Form N5 claim for possession and N119 particulars of claim for possession.
Yahoo
04-03-2025
- Yahoo
Your rights as a landlord – and how you can still evict a tenant
The Renters' Rights Bill currently in the House of Lords is a more comprehensive version of the Renters' Reform Bill which was brought to parliament under the previous government. The new bill brings an end to 'no fault evictions' leaving landlords worried about removing problem tenants. But there are still ways to remove troublesome tenants, even after the bill is passed, most likely at some point in 2025. If you are faced with a rogue tenant, then here is what you need to know in order to legally evict them, once Section 21 has been abolished. In this article, we will cover: What are the current eviction rules? Evicting problem tenants after the Renters' Rights Bills How to legally evict a tenant Until now landlords have been able to use Section 21 to evict renters at the end of their tenancy without providing justification, as long as they give them two months' notice. Landlords can still use Section 8 to get rid of tenants who wreck the property or stop paying rent. However, this involves going to court, which can take months. A problem tenant is any landlord's worst nightmare, costing potentially thousands of pounds in damage or unpaid rent – in the past Telegraph Money has heard of rogue tenants who set up cannabis farms in the loft and others who filled the house with rotting trout. During the pandemic, the government imposed a ban on evictions. Ever since this was lifted in 2021, there has been a surge in landlord possession claims and evictions, according to the Ministry of Justice. Almost 20,000 households were served a Section 21 notice last year, more than double the number in 2021, as landlords rushed to regain control over their properties before Section 21 was scrapped. There are still ways you can evict problem tenants even after the Renters' Rights Bill comes in. Those include: Anti-social behaviour Property damage Unpaid rent The Government recently revealed an action plan to help landlords crack down on anti-social tenants, although no date for new powers has been decided. Currently, landlords can only end a tenancy over anti-social behaviour if there is a conviction. The new proposals would remove the requirement for a conviction, meaning an eviction could be obtained by a landlord on evidence alone. James Wood, of the National Residential Landlords Association, said anti-social behaviour is notoriously difficult to prove. 'Most of the victims will be the immediate neighbours or other tenants, who are understandably scared of providing evidence in court.' If there are reports of anti-social behaviour, give the other tenants and neighbours a channel to report the information confidentially. Ideally, they should keep an evidence log of when and where incidents occur, as this will strengthen your case if it goes to court. Reporting the behaviour to the police or local authority could also help here. You should warn the tenant that their behaviour is not acceptable, without identifying the informer. If the behaviour persists, then you will have to serve a possession notice. Read more on these below. Some wear and tear is to be expected over the length of the tenancy. But if the tenant has caused damage to the property, the cost can be deducted from the deposit. There is a clear difference between natural wear and tear and property damage. Scratches on the wall and appliances that have broken down are examples of natural wear and tear, whereas cigarette burns on a carpet, a broken chair, or an overloaded plug socket constitute damage. Before renting out the property, it is best to complete an inventory report with the items in the property but also the condition of those items. If deducting costs from the deposit, this must be on a like-for-like basis. You cannot charge a tenant for the cost of a new premium mattress if they damaged a cheap one. There has been a rise in the number of landlords chasing unpaid rent from tenants since the pandemic began. Last year instructions for rent debt recovery services surged by 180pc compared to the previous 12 months, according to Landlord Action, an eviction firm. Paul Shamplina, founder of Landlord Action, said that if a tenant stops paying rent, the landlord should get in touch as soon as possible. Hopefully, the problem is only temporary and you can compromise. Mr Shamplina said: 'A good tenant doesn't turn rogue overnight.' However, if a compromise cannot be reached, and if the rent goes unpaid for more than two months, the landlord can decide to serve a Section 8 notice. This gives the tenant 14 days' notice to pay. If the rent still has not been paid, the landlord would have to apply to the courts for a possession order and a money order. Mr Wood said: 'Alternatively, landlords can apply via Money Claim Online for a judgment for just the arrears if they still want the tenancy to continue.' Money Claim Online is an online portal, operated by HM Courts & Tribunal Service, which allows claims to be made for up to £100,000. Mr Shamplina added: 'If at this point the tenant still does not pay, the landlord would have to instruct bailiffs.' If a tenant has been in at least two months' arrears three times in the previous three years, this is grounds for mandatory eviction. You must give your tenant appropriate notice that you wish for them to leave the property. With Section 21 abolished, you must use Section 8 notice under the Housing Act 1988. Section 8 can be used where the landlord has grounds for eviction including property damage, rent arrears or anti-social behaviour. However, you will need to have evidence to back up your claim if your tenant takes you to court. Mr Wood said: 'Because of the lack of certainty in this route, most landlords prefer to use Section 21 to deal with cases where the tenant is in arrears or is anti-social.' You must fill in a 'Notice seeking possession of a property let on an assured tenancy or an assured agricultural occupancy'. On this form you should specify what terms of the tenancy have been breached. You should give between two weeks' and two months' notice, depending upon which terms you are relying. If your tenant refuses to leave after receiving notice then you can serve a possession order. This requires you to fill in a Form N5 claim for possession and N119 particulars of claim for possession. In theory, a landlord should be able to get a bailiff 14 days after they receive a possession order. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.
