Renters (Reform) Bill
The Renters (Reform) Bill is expected to become law in Spring 2024, although its provisions may not come into force immediately and the Government has indicated that there will be a delay before implementation to allow Court reforms to be undertaken to speed up the eviction process. The Bill abolishes fixed-term Assured Shorthold Tenancies and replaces them with periodic Assured Tenancies. Landlords will no longer be able to serve a Section 21 Notice giving at least 2 months’ notice to terminate a tenancy (so called “no fault” Notices) and will instead need to serve a Section 8 Notice and establish a ground for possession. Grounds for possession will be widened and some new grounds of possession created. In addition, it will introduce a database which will require landlords to sign up and register all properties which they let. Secondary legislation will contain details of what information is to be included on the database.
As the Bill has made its way through Parliament a number of changes have been made including:
- A new ground of possession has been added to allow a landlord to recover possession of a HMO let to full-time students at the end of the academic year to re-let to students. The Explanatory Notes to the Bill suggested that Purpose-Built Student Accommodation would be exempt if the provider was registered for a Government-approved code but the Bill doesn’t contain an exemption currently and the new ground of possession would not apply to Purpose-Built Student Accommodation. If a tenancy is granted to a student by the educational institution delivering the course or by another specified institution or body of persons, it cannot be an assured tenancy.
- To create an offence of discriminating against those with children or who claim benefits seeking to obtain a tenancy in the private rented sector, with financial penalties for a failure to comply.
- Introduce a Decent Homes Standard in the private rented sector as currently exists in the social sector. Much of the detail will be in secondary legislation which is expected in 2024.
For more information, see here for our Expert Insight: What is the Renters Reform Bill? Key Headlines and listen to our podcast here for the Property Patter: the Renters Reform Bill.
Levelling Up and Regeneration Act 2023
The Act received Royal Assent on 26 October 2023. Some provisions are brought into force on 26 December 2023 but further provisions are anticipated to be implemented throughout 2024 including:
Short-term lettings registration scheme
The Act gave the Secretary of State the power to make regulations governing a short-term lettings registration scheme in England. This is expected to catch properties let via Airbnb and other short-term lettings platforms. The regulations will include details of who must maintain the register, what information must be included and the conditions that must be satisfied for a short-term rental property to be registered. The Government consulted on a registration scheme in May 2023 and indicated that the scheme would be operational in 2024. Secondary legislation fleshing out the full details of the scheme is anticipated by mid-way through 2024.
