February 4, 2025

Renters Rights Reform Bill: February 2025 Update

A very warm welcome to our first newsletter of 2025

On behalf of our team at Town and Country Property Services I hope you’re all keeping well, wherever you are in the world, and that the year has got off to a happy and positive start!

I know that rental reform continues to occupy our minds and national press so I will start this newsletter with a local market overview, followed by an update on the legislation currently winding its way through the parliamentary process.

LOCAL MARKET CONDITIONS

Historically, Brighton and Hove has always had a resilient local lettings market and that is unlikely to change due to its proximity to London and the lack of space available for building new properties.

Looking at the year ahead, the unusually high demand experienced over the past two years has abated slightly in the past couple of months and the number of tenants competing for properties has levelled. We currently have 8 properties to let, and these are being marketed proactively, reflecting market trends.

As always, our focus remains firmly fixed on ensuring that vacant properties are marketed promptly and effectively, striking a balance between securing the best price and a swift turnaround. We will, of course, keep you in the loop at all times and keep in regular contact with those clients whose properties come available.

RENTERS RIGHTS BILL

Timescales – when will the Renters’ Rights Bill become law?
There are few things worse than uncertainty!
After endless delays, we do now have some clarity and timescales, as well as a better idea of what will change.

The Bill cleared the House of Commons last month (January) and received its first reading in the House of Lords.

We now expect it to progress as follows:

February 4th – Second reading in the House of Lords (HoL). No vote at the second reading.

Mid-February to late April – A full HoL committee will sit, examine the detail and debate any amendments. The final report stage should follow the Easter recess, paving the way for the Bill to clear the Lords.

May – Royal Assent Summer/Autumn 2025:
New legislation becomes law. The Secretary of State will set the date for roll-out.

Headline changes were explained in our last newsletter but in summary they will include:

  • Abolition of Section 21 notices and move to a simpler tenancy structure, where all assured tenancies are periodic. No-fault repossessions will end and grounds for possession will always be required.
  • Abolition of assured, fixed-term tenancies, removing tenancy terms of six or 12 months, with no automatic end date and a minimum 12-month term. Existing fixed-term tenancies will become periodic.
  • Fairer possession grounds to both parties. Landlords will still be to recover properties for re-sale and/or redevelopment, or if they or family members want to move back in, using the property as a main or principal home. There will also be protections and grounds for recovery if tenants default on rent or cause anti-social behaviour.
  • The right to appeal against above-market rents. Rents can still increase to reflect market prices, via a Section 13 notice. An independent tribunal will arbitrate disputes.
  • Removal of discrimination against tenants in receipt of benefits and/or with children. Improved rights to keep pets.

Please remember that this is an overview of a complex Bill and not an exhaustive list. You can contact us at any time, with queries or check out the Government guide at: Guide to the Renters’ Rights Bill – GOV.UK (www.gov.uk). 

Like to discuss any of this further? Please just pick up the phone or drop me a line and sincere thanks for working with us and being valued clients.

Kind regards
Stephen Chipp

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