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A third of renters could be ‘forced out' by average rent rise, research finds
A third of renters could be ‘forced out' by average rent rise, research finds

Yahoo

time30-06-2025

  • Business
  • Yahoo

A third of renters could be ‘forced out' by average rent rise, research finds

Millions of renters could be forced to move house despite Labour's pledged protections, campaigners say, as new research lays bare the toll of massive rent increases. Over two-thirds of renters say they would definitely (34 per cent) or probably (34 per cent) need to move home if given a rent rise of £110, polling from the Renters' Reform Coalition (RRC) shows. The research comes ahead of Labour's Renters' Rights Bill, which is expected to pass later this year. The legislation will bring an end to controversial Section 21 'no-fault' eviction notices, as well as empowering tribunals to protect tenants from unreasonable rent increases. But this does not go far enough, the RRC argues, pointing out that a £110 rent rise is an increase of 7.9 per cent on the average rent, close to the current average rent increase of 7.5 per cent. This means it is unlikely that tribunals will be able to provide adequate protection against 'backdoor eviction' via rent rises, which the Ministry of Housing, Communities and Local Government says they should do. Furthermore, research by the group finds that the average decision made by tribunals in the first half of 2025 saw tenants receive a rent increase of more than £240 per month. The polling also reveals the stark impact even a market rate increase can have on renters, following years of consecutive rental market increases during the Covid pandemic and cost of living crisis. Around 85 per cent of renters said they would need to make changes to their spending to afford a rent rise of £110. Of these, 32 per cent said they could cut back on non-essential spending, while 24 per cent said they would need to cut back on essentials. A further 14 per cent said they would be forced to use savings or borrow money, and 13 per cent said they would have no way of affording the rise. Only 14 per cent of renters said they would be able to afford the increase with no changes to their spending. Average rents increased to £1,339 in May, up 7 per cent in the year. This is up nearly 30 per cent from when rents began to rise for years prior to 2021, up nearly 30 per cent from £1,034. This figure is more than four times the 7 per cent rise in the four years from May 2016 to May 2021, with the average rent rising from £954. Tom Darling, director at the RRC said the government's Renters' Rights Bill is 'long overdue', adding that it will 'give renters more rights and protections and should help drive up housing standards'. He added: 'But the rent rise eviction loophole is a serious gap in the legislation. Even after section 21 is abolished, our research suggests as many as a third of renters will still face being pushed out of their homes and communities by rent increases, and landlords will be able to use rent hikes they know tenants cannot afford to threaten or intimidate. 'A cap on rent increases would be simple to implement, putting money back into renters' pockets and giving them real long-term security in their homes." A Ministry of Housing, Communities and Local Government spokesperson said: 'Our landmark Renters' Rights Bill will ensure that landlords are only able to increase rents once a year to the market rate, and tenants will be able to challenge unreasonable rent increases through the first-tier Tribunal. 'This will prevent unscrupulous landlords using rent increases as a backdoor means of eviction, while ensuring rents can be increased to a fair rate.'

A third of renters could be ‘forced out' by average rent rise, research finds
A third of renters could be ‘forced out' by average rent rise, research finds

The Independent

time30-06-2025

  • Business
  • The Independent

A third of renters could be ‘forced out' by average rent rise, research finds

Millions of renters could be forced to move house despite Labour 's pledged protections, campaigners say, as new research lays bare the toll of massive rent increases. Over two-thirds of renters say they would definitely (34 per cent) or probably (34 per cent) need to move home if given a rent rise of £110, polling from the Renters' Reform Coalition (RRC) shows. The research comes ahead of Labour's Renters' Rights Bill, which is expected to pass later this year. The legislation will bring an end to controversial Section 21 'no-fault' eviction notices, as well as empowering tribunals to protect tenants from unreasonable rent increases. But this does not go far enough, the RRC argues, pointing out that a £110 rent rise is an increase of 7.9 per cent on the average rent, close to the current average rent increase of 7.5 per cent. This means it is unlikely that tribunals will be able to provide adequate protection against 'backdoor eviction' via rent rises, which the Ministry of Housing, Communities and Local Government says they should do. Furthermore, research by the group finds that the average decision made by tribunals in the first half of 2025 saw tenants receive a rent increase of more than £240 per month. The polling also reveals the stark impact even a market rate increase can have on renters, following years of consecutive rental market increases during the Covid pandemic and cost of living crisis. Around 85 per cent of renters said they would need to make changes to their spending to afford a rent rise of £110. Of these, 32 per cent said they could cut back on non-essential spending, while 24 per cent said they would need to cut back on essentials. A further 14 per cent said they would be forced to use savings or borrow money, and 13 per cent said they would have no way of affording the rise. Only 14 per cent of renters said they would be able to afford the increase with no changes to their spending. Average rents increased to £1,339 in May, up 7 per cent in the year. This is up nearly 30 per cent from when rents began to rise for years prior to 2021, up nearly 30 per cent from £1,034. This figure is more than four times the 7 per cent rise in the four years from May 2016 to May 2021, with the average rent rising from £954. Tom Darling, director at the RRC said the government's Renters' Rights Bill is 'long overdue', adding that it will 'give renters more rights and protections and should help drive up housing standards'. He added: 'But the rent rise eviction loophole is a serious gap in the legislation. Even after section 21 is abolished, our research suggests as many as a third of renters will still face being pushed out of their homes and communities by rent increases, and landlords will be able to use rent hikes they know tenants cannot afford to threaten or intimidate. 'A cap on rent increases would be simple to implement, putting money back into renters' pockets and giving them real long-term security in their homes." A Ministry of Housing, Communities and Local Government spokesperson said: 'Our landmark Renters' Rights Bill will ensure that landlords are only able to increase rents once a year to the market rate, and tenants will be able to challenge unreasonable rent increases through the first-tier Tribunal. 'This will prevent unscrupulous landlords using rent increases as a backdoor means of eviction, while ensuring rents can be increased to a fair rate.'

New rules to help renters including bans on shock evictions delayed again
New rules to help renters including bans on shock evictions delayed again

The Sun

time26-06-2025

  • Politics
  • The Sun

New rules to help renters including bans on shock evictions delayed again

NEW rules giving more power to renters including a ban on shock evictions have been delayed again. The Renters' Reform Bill will reportedly not come into force in autumn as planned due to delays in Parliament. The far-reaching bill will ban Section 21, also known as "no fault" evictions, as well as prevent landlords from increasing rents to deliberately squeeze hard-up renters out of their homes. The delay to the ban on Section 21 notices, as first reported by The Financial Times, is the first in a string of push backs. Fears have been raised by campaign group the Renters Reform Coalition that the latest delay could mean the bill not coming into effect until the spring of 2026. Tom Darling, director, said: "Renters will feel let down yet again on hearing that Section 21 no fault evictions are now unlikely to be scrapped until 2026 - a year and a half since the government was elected on a manifesto pledge to 'immediately abolish' them. "Now we find out renters will be facing a second no-fault eviction nightmare at Christmas since this promise was made. "Everyone needs a decent, secure home, but with every month that passes thousands more renters are faced with a no-fault eviction. "The Government must show a renewed impetus to get this over the line." Estimates from Shelter suggest around 25,000 households have been threatened with homelessness following a Section 21 notice since the Labour Party was elected. The charity said this means for each day the Government delays a ban, 70 households will be threatened with homelessness. The Sun spoke to one couple who were forced out of their home before Christmas, leaving them scrambling to find a new place to live with their four kids. Trevor and Tnaesha Twohig described receiving the no-fault eviction as "devastating and anxiety-inducing". The Sun asked the Department for Levelling Up, Housing and Communities to comment. What else is included in the Renters' Reform Bill? It's not just a ban on Section 21 evictions covered in the Renters' Reform Bill. A host of other changes are included in the legislation. These are just a few of the major ones: Ensuring possession grounds are fair to both parties - this will give tenants more security but also allow landlords to recover their properties "when reasonable". Providing stronger protections against backdoor eviction - this will ensure tenants can appeal above-market rents which are designed to force them out. Introduce a new Private Rented Sector Landlord Ombudsman - this will mean renters can get impartial help if they have a grievance with their landlord. Give tenants strengthened rights to request a pet in the property - a landlord will have to consider this and cannot refuse it unreasonably. Apply "Awaab's Law" to the sector - this will set clear legal expectations about the timeframes within which landlords in the private rented sector have to take action to make homes safe where they contain serious hazards. Help you can get to pay rent You might be able to get help via the Household Support Fund, which is worth £742million to councils in England. What to do if you've been served a Section 21 notice Here is what you can do, according to the Renters' Reform Coalition... Check the form - A section 21 notice must be on an official form, known as a 6a form. Your landlord can't issue an eviction notice just by telling you in person or by text/email. Check if the form is valid - you must be given at least two months notice to vacate a property. You also can't be given a section 21 if your tenancy started less than four months prior. If you are on a fixed term contract you can't receive a section 21 unless there is a break clause in it. These things can also make a section 21 notice invalid: The council have given your landlord an improvement notice to fix things, or an emergency works notice, in the last 6 months. Your deposit isn't in a deposit protection scheme. In that case the landlord must return it to you before they can issue a section 21. The property is a House in Multiple Occupation (HMO) but it doesn't have a HMO licence from the council. In some areas all rented properties need a licence - check with your council. The landlord has charged you illegal fees - such as a deposit worth more than 5 weeks rent, or admin fees. In this case they must return the money to you before serving a section 21. You never received key paperwork for the property - the Energy Performance Certificate, the 'How to rent' guide, and a gas safety certificate (if there is gas). What to do if the section 21 is valid: You don't have to leave the property at the end of your section 21 notice. Your landlord still has to apply to court for a possession order and a warrant for eviction, to use court bailiffs to evict you. If you are remaining in your property after the end of a section 21 notice, make sure you inform your landlord and continue to pay rent while you look for another place to live. If you can't find somewhere to rent and are facing homelessness, tell your council immediately. They should be able to advise you on what to do and provide emergency temporary accommodation or other support. Local authorities have until March 31, 2026, to allocate their share of the fund and can set their own eligibility criteria. But you might be able to get free money through the fund which can be used to pay for rent. Speak to your local council about what help is on offer. You can find your local council via You might also be able to apply for a Discretionary Housing Payment to cover the cost of rent. You can apply for a DHP if you get Housing Benefit or receive the housing element of Universal Credit. Some charities offer grants to those struggle to make ends meet as well. Use the Turn2Us grants search checker to see if you're eligible for anything - .

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