At the beginning of the current session of Parliament in May 2021, the UK Government reiterated its commitment to reform the private rented sector. They have said that they will publish a White Paper - a policy document outlining their proposals for future legislation - in 2022..
The White Paper is expected to set out the Government's plans for possession reform and the future of Section 21 (so-called 'no fault') possession, as well as a broader remit, including exploring mandatory redress for landlords, the merits of a landlord register, and reforms to enforcement.
The NRLA (National Residential Landlord Association) has welcomed the Government's decision to publish a white paper, recognising the significance of the changes for the sector. They are participating, along with other stakeholders, in roundtables chaired by Eddie Hughes MP, Minister for Rough Sleeping and Housing, to discuss the issues which will be raised in the White Paper.
NRLA have now also set out their proposals for the private rented sector, in their report: A New Deal for the Private Rented Sector.
What changes are being proposed?
While we’ll have to wait for the White Paper for details of the full package of reforms, this is what we know so far about what the Government has proposed:
Section 21 to be scrapped. This will mean landlords will no longer be able to evict tenants after the end of a fixed term without giving a specific reason.
Reform of Section 8, to expand and strengthen the grounds for repossession following the abolition of Section 21, to make sure landlords can still secure their properties if needed.
Improvement of the eviction court process, to make it quicker and easier for landlords and tenants – including a mediation service to help avoid the need to go to court at all.
The introduction of a ‘lifetime’ deposit system, so tenants would no longer need to fund a security deposit every time they move.
Some form of regulation for landlords, to improve the way they can be held to account.
Overall, this reform is intended to give tenants greater security of tenure, while making sure landlords’ rights are not unfairly compromised. So what does this mean for the renter and the Landlord? Click below to see what the Law Society has to say about this.