7th
Mar 2024
A PRS trade body is calling for the government to fast track the Renters Reform Bill to end the continual uncertainty blighting the sector and that compromises are not seen as a ‘white flag’ for either the government or landlords.
The BBC recently stated that a number of amendments to the Bill have been passed onto those MPs who want changes to give feedback to the new proposals prior to the Bill going to the Third Reading in the Commons.
One of those MPs calling for changes to the Bill told the BBC: "Agreement seems to have been reached on nearly all points."
The most controversial issue in the Bill is the banning of Section 21 with the government attempting to reassure landlords that the government will not go ahead until it has introduced much needed changes to the court processes, which was announced last year by the Housing Secretary Michael Gove.
Apparently there are suggestions for the amendments to include:
· Reducing the ‘mountain’ of evidence that is currently required when landlords are needing to evict tenants because of anti-social behaviour
· Upon the introduction of a landlord National Register councils will be unable to use selective licencing schemes as the register will perform the function.
· It will become mandatory for tenants to commit to staying in a property for at least four months before handing in a notice.
· Student HMO landlords will be protected as periodic tenancies for tenants at college will not be introduced as fixed term tenancies is far more suited to both landlords and tenants.
Commenting on BBC reports, a spokesperson for the trade body, says: “We have long accepted that the government has a mandate to end the use of fixed term tenancies and no-fault repossessions. Our focus has, and continues to be, on developing a replacement system that is fair and workable for tenants and responsible landlords. This need not be a zero-sum game between the two.
The trade body says it has “….. consistently campaigned for the Bill to balance the protections promised to tenants and the legitimate business needs of landlords to enable them to continue to provide rented homes.
“If the government is considering amendments that would provide for assurances to landlords with a six-month minimum term and ensure confidence for all in the court process, then that balance would be struck.
“We now need to see these amendments published in full so that all parties can judge for themselves what is on the table and move on with debating the Bill in public. The lack of progress and uncertainty about the future is destabilising and damaging for those living and working in the private-rented sector.”
Last year the Levelling Up, Housing and Communities Select Committee’s published its report on the private rental sector which said: “The abolition of fixed-term tenancies, combined with the abolition of section 21, would undoubtedly give tenants greater security of tenure.
“We understand the argument that fixed-term tenancies should remain available where both parties want them, but in practice, given the current shortage of private rental properties, this would likely result in tenants having fixed terms forced on them. A reasonable balance needs to be struck between security of tenure for tenants and a degree of certainty for landlords.
“We therefore recommend that tenants be unable to give two months’ notice to leave until they have been in a property for at least four months. This will give landlords the legal certainty of at least six months’ rent at the start of a tenancy.”
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