As the UK government prepares to introduce the Rental Reform Act to Parliament, landlords across England must pay close attention. If passed, this legislation will usher in the most significant changes to the private rental sector in a generation. At Bradley Hall, we believe that staying informed and proactive is key to protecting your property interests and ensuring compliance in an evolving legal landscape.
Joanne Dimmick, Senior Residential Property Manager, breaks down the proposed changes and what they could mean for landlords.
Abolition of Section 21: The End of “No-Fault” Evictions
Arguably the most headline-grabbing change is the proposed abolition of Section 21, which currently allows landlords to evict tenants without needing to provide a specific reason. Under the new rules, landlords will need to rely on Section 8 grounds to end a tenancy. These grounds require landlords to demonstrate a legitimate reason, such as rent arrears or property misuse, to regain possession.
This change places greater emphasis on having well-documented tenancy agreements and ensuring that communication with tenants is clear, consistent, and fair.
Revised Section 8 Grounds: Protecting Landlords’ Rights
While removing no-fault evictions may seem restrictive, the government has proposed strengthening Section 8 to ensure landlords can still regain possession under reasonable circumstances. These include:
- Persistent rent arrears
- Selling the property
- Anti-social behaviour
These reforms aim to strike a balance between tenant security and landlords’ rights, ensuring the system is fair and workable for all parties.
Structured Rent Increases with Tenant Protections
The Act is also expected to introduce stricter rules around rent increases. Landlords will be required to follow a transparent process, and tenants will have the legal right to challenge unjust increases through a tribunal. This means that arbitrary or excessive rent hikes will likely be off the table, and landlords must justify any proposed changes based on market rates or property improvements.
A Shift to Periodic Tenancies
Another major shift is the proposed move away from Assured Shorthold Tenancies (ASTs) toward a single system of periodic tenancies. This would mean tenancies no longer end automatically after a fixed term, giving tenants more flexibility and encouraging longer-term tenures. For landlords, this underscores the importance of ongoing property management and maintaining positive tenant relationships.
Landlord Ombudsman Scheme and Decent Homes Standard
To enhance accountability and dispute resolution, the Act proposes a new mandatory Ombudsman scheme for landlords. This will provide tenants with an accessible route to raise concerns without immediately resorting to legal action.
Additionally, the Decent Homes Standard, currently applicable to social housing, is likely to be extended to the private rental sector. Landlords may need to invest in upgrades to meet these standards, ensuring properties are safe, warm, and free from health hazards.
Preparing for the Future
While the Rental Reform Act has not yet passed into law, the direction of travel is clear. Landlords should take steps now to prepare:
- Review current tenancy agreements
- Conduct property inspections to ensure compliance with proposed standards
- Seek legal or professional advice on upcoming changes
- Stay informed through trusted property advisors like Bradley Hall
At Bradley Hall, we’re here to help landlords navigate these legislative changes with confidence. If you’d like to discuss how the Rental Reform Act may affect your portfolio, contact our team today for expert guidance: https://www.bradleyhall.co.uk/end-to-end-services/residential-lettings-and-management/
