Abolishing Section 21 “No-Fault” Evictions
Ending Section 21 “no-fault” evictions was central to the discussion. Rayner noted that many tenants “live in fear of Section 21,” and abolishing it would provide greater stability for families. Labour MPs argued that tenants should be able to report issues like damp or rent increases without risking eviction. However, MPs also raised concerns about how the court system will handle a likely increase in repossession orders, with Dame Siobhain McDonagh noting current delays of up to 12 weeks for bailiff warrants. Strengthening court resources will be critical.
Modernising the Dispute Process
The Bill aims to streamline the county court process with digitization to handle disputes more efficiently. Rayner emphasized the role of the Property Ombudsman in helping to resolve issues before they escalate to court, which could mean faster outcomes for disputes between landlords and tenants.
Landlord Database
The Renters’ Rights Bill introduces a mandatory landlord registry, requiring landlords to provide detailed information about each property, including compliance standards. Rayner highlighted this as a step toward greater transparency and quality across the sector. Letting agents must ensure their landlords meet compliance standards, as failing to register could result in penalties.
Energy Performance Certificates (EPCs)
MPs also discussed EPC requirements, particularly Labour’s aim to raise private rental properties to an EPC band C rating. However, Rayner clarified that these upgrades are not included in the current Bill. Letting agents should nonetheless stay updated on EPC regulations that may impact properties in the future.
Conservative Party Response
During the debate, Kemi Badenoch voiced concerns about the Bill’s potential impact on rental housing supply, which could decrease due to increased regulation, affecting both tenants and landlords. Conservative MP Priti Patel also requested clarity on potential costs to landlords and additional clauses that could impact them.
Next Steps for the Renters’ Rights Bill
The Bill now moves to the Committee Stage, chaired by MP Florence Eshalomi. While a date has not yet been set, Eshalomi emphasized the significance of this phase in addressing the housing crisis and tracking the Government’s progress in creating more housing options.