
The ban on ‘no-fault’ evictions within the Renters’ Rights Bill fundamentally alters the balance of power between landlords and tenants.
While this is designed to provide greater security for tenants, it may inadvertently lead to an increase in disputes.
Without the ability to evict ‘without cause’, landlords are likely to become more exacting when issuing tenancy agreements and more likely to pursue legal action to regain possession when issues arise.
This could increase the burden on the courts, which would need to handle a surge in possession claims where landlords are required to demonstrate ‘robust grounds’ for eviction.
Also, the proposed cap on in-tenancy rent increases could raise potential legal conflicts, especially concerning contract law and market pricing.
Landlords may argue that the cap interferes with their ability to set rents at market rates, potentially leading to challenges based on contractual freedom.
In my view the cap must be justified as a reasonable measure to protect tenants but without unduly infringing on landlords’ rights to negotiate terms freely.
Nevertheless, the Renters’ Rights Bill limits landlords’ ability to set rents that disadvantage tenants, thereby shifting their responsibilities towards fostering a fairer and more accessible rental market, and aligning landlords’ obligations with broader societal goals of housing affordability and equity.
Landlords therefore should focus going forward on efficient tenant referencing and consider alternative methods to secure tenancies, such as guarantor services or insurance products, rather than relying on deposits and upfront payments, which will be banned soon by the Bill.
By encouraging affordability, the Bill indirectly promotes greater tenant stability. Also, its new rules are expected to reinforce landlords’ obligations to maintain properties at a decent standard, providing tenants with more recourse to address substandard conditions.
While campaigners have celebrated the measure as a victory for tenant rights, critics from the property sector argue it may introduce additional burdens on landlords, potentially impacting rental availability and stock availability.
Balancing these concerns will be key as the Bill progresses through its final stages in Parliament this Autumn.
Daniel McAfee is a solicitor specialising in landlord and tenant disputes at LawHive.co.uk
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