13th
Apr 2023
In spite of media, politicians and organisations somewhat spurious claims that Section 21 powers are overused, recent research shows the exact opposite of landlords not abusing the powers nor using them ad hoc.
Research carried out by a lettings agency with 271 landlords found that 80 per cent of respondents have never needed to use Section 21 powers.
However those who had needed to, six per cent said it was because the tenant was in breach of the lease and only 3 per cent used S21 when their tenant hadn’t breached the rules.
A spokesperson for the lettings agency, says:“We, along with the majority of our landlords, is committed to raising standards. But while we are fully supportive of ‘professionalising’ the private rented sector, many of the proposed changes, including the repeal of Section 21, would pose new challenges to landlords which could penalise both landlords and tenants.
“It is important to bear in mind that private landlords are vital to meeting increased demand in the rental sector and that unnecessary measures which would result in an exodus of landlords from the market would be detrimental to rental affordability.
“We also believe that the Government should re-think its proposals surrounding assured shorthold tenancies (ASTs). It has been suggested that tenants should be permitted to serve notice of two months’ at any point.
“This would create considerable uncertainty for landlords, which is unwelcome in an already challenging market.
“There has been a request to amend this, so that two months’ notice is only permissible when the tenant had been in the property for at least four months. This compromise would provide some further security for landlords, while allowing flexibility for tenants.”
Section 21 of the Housing Act 1988 gives landlords powers to evict tenants without having to give them a reason, however private renters’ organisations and representatives state that this leaves them extremely vulnerable and many are afraid to complain to landlords because of ‘no fault evictions’ hanging over their head.
The agency’s research counters the Levelling Up, Housing and Communities Committee of MPs publication of its response to the Government’s Reforming the Private Rented Sector policy document.
The committee of MPs unsurprisingly was in favour of the Government’s proposed, (almost certain) scrapping of Section 21 powers; however it stated in the report that exemptions must be included in the regulations if the government goes ahead with its plans.
The committee’s report states that, ‘The pressures on the courts will be exacerbated by the repeal of Section 21, as landlords will seek to regain possession under Section 8, especially in the case of rent arrears and antisocial behaviour’, and states that the abolition of Section 21 is only feasible if a housing court is put in place – something that the Government has already ruled out.
The lettings agent spokesperson added: “It is at least reassuring that the Committee understands the importance of consulting with landlords prior to making this substantial change – specifically on how and whether the courts can process such claims at the necessary rate - before Section 21 is repealed.
“If it was to speak to our landlords, it would certainly find that the Government’s response to no-fault evictions to be extreme, unnecessary, and damaging to landlords and tenants alike. The Government should reconsider this very onerous proposed change.”
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