Despite last-minute attempts to add more amendments to the Renters’ Rights Bill, Peers failed to make any changes to the legislation.
The Renters Rights Bill will be back in the Commons for final approval on Wednesday.
Once the Commons agrees on the final wording of the Bill, which is expected to happen after a short debate on Wednesday, the Bill can then signed into law by the King. This is expected to happen almost immediately.
Earlier last week Peers in the House of Lords voted to reject several proposals that would have balanced the legislation. These included:
- Rejecting reducing the “no re-let” period to six months after a landlord evicts a tenant to sell the home. This means landlords will still be banned from re-letting a property for 12 months if they evict a tenant to sell the home, making it harder for unscrupulous landlords to abuse the system;
- Rejecting extending the student possession grounds to one and two bedroom properties, which would have put postgraduate and mature students at risk of eviction at the end of the academic year;
- Rejecting a proposal for landlords to request an additional pet deposit. We believe the existing five weeks’ rent is enough to cover damage by a pet;
- Rejecting a new possession ground for a landlord to evict a tenant if they wanted to house a carer. We thought this could have been easily abused by landlords to evict.
The government has yet to say whether it will confirm an implementation date for provisions to be introduced at Royal Assent, or at later date.
The National Residential Landlords Association says it expects tenancy reforms to be the first changes to be introduced, on a given ‘commencement date’ – with other provisions, such as the introduction of ombudsman and landlord database to come later.
Thousands Are Made Homeless As Landlords Sell Up
The NRLA is highlighting government data showing 6,700 households were made homeless in the second quarter of this year.
New government data confirms property sector fears that thousands of tenants are being made homeless as private landlords sell up.
And it is clear that property investors being put off the buy-to-let market in large numbers is the single biggest reason for homelessness in the private rented sector.
The revealing figures come as speculation about potential tax hikes in next month’s Budget risk making the rental supply crisis much worse.
Three Times Higher
In the second quarter of this year, 6,700 households in England qualified for help from their council after their landlord decided to sell.
This figure is three times higher than the next most common reason for the end of the tenancy.
The NRLA is highlighting the shocking statistics, and warning ministers they need to wake up to what is happening in the PRS.
And the message comes as the Renters’ Rights Bill is poised to become law soon.
Tax Grabs
Just last week, the NRLA joined forces with leading economist Paul Johnson to advise against short term tax grabs.
The follows rumours that Chancellor Rachel Reeves is reported to be considering raising tax from the PRS, including making landlords pay National Insurance.
Crisis
Ben Beadle, CEO at the NRLA, says “every landlord who decides to sell a property leaves renters facing uncertainty about where they will next call home. Renters needs responsible landlords to stay in the market for the long term, providing the decent quality homes that the vast majority already do.
The Chancellor must recognise this basic fact and avoid tax hikes which would serve only to exacerbate the housing crisis for millions of renters across the country.”