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New rental laws in Wales: what landlords need to know about occupation contracts

The Renting Homes (Wales) Act 2016 fundamentally changed how residential lettings operate in Wales, introducing sweeping reforms to improve clarity and security for both tenants (now known as contract-holders) and landlords. These new rental laws replaced traditional tenancy agreements with "occupation contracts," creating tailored obligations for landlords and letting agents throughout Wales.

What happened with Welsh rental law changes

The Renting Homes (Wales) Act 2016 came into force on 1 December 2022, automatically converting most existing tenancy agreements into occupation contracts. This marked a shift from assured shorthold tenancies to "standard contracts" for the private rented sector, and "secure contracts" for social housing. All previously existing tenancies seamlessly converted, while all new rental agreements must comply with the framework set out in the Act.

To support landlords with compliance, the Welsh Government published guidance and model written statements that set out contract terms consistent with the Act.

A critical deadline required landlords to provide written statements of terms for converted contracts by 1 June 2023, extended to 14 June 2023 in certain cases where a contract-holder changed. Failure to comply can prevent serving possession notices and may result in financial penalties.

Why these Welsh rental laws matter for landlords and agents

These changes create ongoing obligations that affect the day-to-day management of rental properties across Wales. Staying compliant is essential for protecting your position and preventing disputes.

Key changes include:

  • Written statement requirements: Every occupation contract must be accompanied by a written statement given to the contract-holder within 14 days of contract commencement. This can be provided electronically with consent, or as a hard copy.
  • Enhanced notice periods: The minimum notice period for a no-fault (Section 173) eviction is now six months for most contracts.
  • Deposit protection: You must continue to protect security deposits in a government-approved scheme. mydeposits provides up-to-date advice for Welsh landlords.
  • Possession procedures: If you fail to provide a compliant written statement on time, you may not be able to serve a valid Section 173 notice, making lawful repossession more difficult.

Non-compliance with the Act could result in financial penalties or compensation orders, and may restrict your ability to deal with problematic contract-holders.

What landlords and agents need to do

1. Review all existing and new agreements

Check you’ve provided a proper written statement for every contract. Use Welsh Government model contracts as a template, or ensure your own contracts include all fundamental and supplementary terms required by the Act.

2. Build written statement delivery into your letting process

Provide a written statement within 14 days whenever you create a new contract or a contract-holder changes (including where a fixed-term becomes periodic). Keep records of delivery (by signed receipt or verifiable email).

3. Understand Section 173 notice changes

You can only serve a no-fault Section 173 notice after the initial six months of a contract, with a minimum notice period of six months for all new or periodic standard contracts. Learn more in Total Landlord's guide to Section 173 notices.

4. Keep up to date with best practice

The landscape for Welsh landlords is complex. Partner resources can help:

  • Total Landlord provides guidance and insurance cover designed for Welsh regulations.
  • mydeposits offers deposit protection solutions and compliance articles.
  • For possession issues, Landlord Action provides specialist support on notices, evictions, and repossession under Welsh law.
  • The NRLA’s Renting Homes Wales hub includes comprehensive factsheets and updates.

If you need further help interpreting the Act or navigating tricky situations, consider professional legal advice to avoid costly errors.

Key dates and compliance points

  • 1 December 2022: Act came into force and began automatic conversion of tenancies
  • 14 days from occupation: Written statement must be provided for each new contract or addition/change of contract-holder
  • 1 June 2023 (extended to 14 June 2023): Final deadline for providing written statements to converted contracts

Ongoing: Always provide new written statements promptly at the start of every new contract or when contract-holders change. Stay alert for Welsh Government updates to model statements.

FAQs

Are written statements compulsory under Welsh law?

Yes—written statements containing all the required terms must be provided to every contract-holder for each occupation contract.

Can I email the written statement?

Yes, with the contract-holder’s consent, you can provide written statements electronically.

What if I miss the 14-day deadline?

Delays can prevent you from serving valid possession notices and may enable the contract-holder to claim compensation. Aim for prompt compliance.

What's different about Section 173 notices?

Section 173 raises the minimum notice period for no-fault evictions to six months and you can’t serve notice within the contract’s first six months.

Where can I find government guidance and contract templates?

Visit the Welsh Government's official Renting Homes page and download model contracts.

What about deposit protection?

Deposit protection rules continue—register every deposit within 30 days via a government scheme like mydeposits.

How do I evict a contract-holder under the new Act?

Follow the new Section 173 process for no-fault evictions or use appropriate breach/ground-based notices. For complex cases, seek specialist support from Landlord Action.

Do these rules apply to all residential lets in Wales?

The Renting Homes (Wales) Act 2016 covers most residential rental properties, with some exceptions (e.g., lodgers and holiday lets).

Where can I get updates and ongoing help?

Keep track of Welsh Government updates, read sector news on LandlordZONE and use partner resources like Total Landlord and mydeposits.

For further reading or insurance tailored to your needs, explore Total Landlord's Knowledge Centre and stay up-to-date with ongoing developments to keep your portfolio compliant and protected.

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