The Renters’ Rights Bill 2024 – a gamechanger?

After years of repeated promises, The Renters’ Rights Bill 2024 has now firmly appeared on the radar and is set to introduce some very significant changes to the residential landlord and tenant landscape. The Bill is aimed at improving the experience of private renters in England. These changes are likely to hugely impact the rental market, but will there be a sting in the tail which ultimately may not bring net benefit to renters the government wants?

Here are some key points:

• End of Section 21 ‘No-Fault’ Evictions: Landlords will no longer be able to evict tenants without providing a reason.
• New Tenancy Structures: The Bill abolishes fixed term assured tenancies and assured shorthold tenancies, replacing them with open-ended tenancies.
• Rent Increases: Rent increases will be limited to once per year, and tenants must be given at least two months’ notice.
• Pets in Rental Properties: Tenants will have the right to keep pets, and landlords cannot unreasonably refuse this.
• Safety and Standards: Landlords will be required to ensure their properties meet certain safety and habitability standards.

• Increased Stability for Tenants: Landlords will need to adjust to longer-term tenancies and the inability to use Section 21 for evictions.
• Regulated Rent Increases: Landlords will have to plan for regulated rent increases, which could impact their financial planning.
• Property Standards: Ensuring properties meet the new safety and habitability standards may require additional investment and maintenance. Landlords will be required to address serious hazards, such as damp and mould, within a specified timeframe. Failure to comply could result in court action and potential compensation to tenants.

• The abolition of s21 gives tenants greater security and stability in their homes.
• The rent increase restrictions help tenants manage their housing costs more predictably.
• The heightened property standards ensure tenants live in safer and healthier environments.
• They can have pets without fear of eviction.
• There will also be a new ombudsman will be established to handle tenant complaints, providing a quicker and more impartial resolution process.
• There will be restrictions against retaliatory evictions (though these exist already).  This means tenants will have stronger protections against being evicted in retaliation for complaining about poor conditions or unfair practices.

Broadly, these changes aim to provide tenants with more security, better living conditions, and greater rights to challenge unfair practices. These changes are probably long overdue and aim to provide greater security and stability for renters while ensuring landlords maintain high standards in their properties. Anything that improves the standard of accommodation must be a good thing, but landlords must also be aware their investment is a commitment on a long term basis. It is hoped this will be to the benefit of good landlords and will drive out the many bad landlords that still exist.  

While the Bill is designed to create a fairer and more secure rental market for tenants, landlords argue that the increased regulatory burden might discourage investment in rental properties, potentially reducing the supply of rental homes. This could, in turn, lead to higher rents as demand outstrips supply in our growing population.  Time will tell but whatever happens, it means there are big changes on the way and as ever, there will be winners and losers.