ARTICLE
16 October 2024

10 Key Takeaways From Renters' Rights Bill Webinar

D
Devonshires

Contributor

Based in the City of London for over 150 years, Devonshires is a leading practice providing high-quality, accessible and value-for-money services to domestic and international clients, including developers, local authorities, housing associations and financial services firms. The practice focuses on building strong, long-lasting relationships in order to achieve outstanding results based on practical advice. The foundation of its success is its commitment to people, both its own and those working for its clients. The firm ensures its staff have access to high-quality training and fosters ‘one to one’ connections between its solicitors and clients.

The firm acts on a broad range of matters including projects, property and real estate, securitisation, construction, housing management, commercial litigation, employment, banking, corporate work, and governance. The practice is a leader in social housing, including working on many development projects nationwide and helping to draft legislation.

The Renters' Rights Bill will eliminate Assured Shorthold Tenancies (ASTs) and fixed-term tenancies, requiring landlords to meet new grounds for possession. Court pressures are anticipated, but no reforms are planned. Future webinars will address further legislative updates
United Kingdom Real Estate and Construction

We ran our first Renters' Rights Bill webinar today and received some great questions and feedback from our delegates. Below we set out answers to some questions we got based on the Bill, as it is currently drafted:

1. There will be no more Assured Shorthold Tenancies (AST) or any Fixed term tenancies - all new tenancies will be periodic with no end date. A formula is included within the bill to convert current fixed terms into periodic tenancies.

2. Landlords will not be able to use the s21 procedure for possession from the date that the Bill is to be enacted, but the procedure can be used until the legislation comes into force.

3. Once the Bill is enacted, each time a Landlord needs to get possession of their property, they will need to demonstrate that a Ground under the proposed Bill applies and follow the correct procedure.

4. New and amended Grounds have been added and some notice periods have changed.

5. Shared ownership leases will no longer be considered assured tenancies as they are over 7 years in length.

6. The changes in status only impacts assured tenancies; secure tenancies remain unchanged.

7. Registered providers can still grant licenses in the appropriate circumstances.

8. There is no mention of any court reforms being linked to this Bill. As accelerated s21 claims on the papers will come to an end, there will be further capacity needed for hearings to be listed in each of those cases. This will lead to increased pressure in the County Courts, while for the FTT there is likely to be increased pressure in terms of tenants enforcing their rights under the Bill for rent increases.

9. The drafting of the Bill may change during its parliamentary passage.

10. We will be running further Webinars focusing on specific topics as the Bill progresses so keep an eye out for more Webinars in the near future.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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