The Renters’ Rights Bill is now moving into Royal Assent, three and half years after the Queen’s Speech announced that tenant rights would be bolstered.
In a final debate in parliament today, housing minister Matthew Pennycook said: “The need to decisively level the playing field between landlord and tenant is pressing and we promised to succeed where the previous government failed by legislating to transform the experience of private renting.”
Pennycook didn’t provide any clarity on when the changes will come into force, but said that that would be made clear soon. He added that it would be a “smooth transition” when it comes to implementing changes, like periodic tenancies.
Under the Conservatives the Renters (Reform) Bill aimed to abolish Section 21 evictions. After the change of government it was largely relaunched by Labour as the Renters’ Rights Bill.
The Bill has had many critics over the past few years, with many raising concerns that abolishing Section 21 evictions will burden the courts further, as more landlords will be forced to issue Section 8 evictions when they have a bad tenant.
In London it takes an average waiting time of eight months for a County Court bailiff eviction date after an Order for Possession has been granted by a judge, research from either this month showed.
James Cleverly, shadow housing minister, speaking in parliament, said: “The Bill in its current form will, in some areas, be counterproductive and drive landlords from the market as well as putting up rents for tenants and Labour’s own impact assessment for this bill supports this concern.”
Reaction
William Reeve, chief executive of Goodlord, said: “After too many false starts to count, the deed is done. Three and a half years after it was first mentioned in a Queen’s Speech, this seminal piece of legislation is now finally winging its way onto the statute books.
“Today’s Commons appearance was mainly a formality after the Lords debate last week settled most of the outstanding issues. The Bill will now receive Royal Assent and the government will announce its plans for implementation in the coming weeks.
“Some elements of the legislation – such as the abolition of Section 21 and the shift to periodic tenancies – will come into force on the commencement date, which will likely be somewhere between April and June 2026. Others – such as the establishment of an Ombudsman and the application of the Decent Homes Standard to the PRS – have less clear cut timelines.
“This gives agents and landlords a small window in which to get their house in order. It’s absolutely essential that anyone with their head still in the sand about the legislation pulls it out sharpish. This legislation is real, vast and can no longer be ignored.”
Marc von Grundherr, director of Benham and Reeves, said: “The Renters’ Rights Bill has been a painfully protracted process for everyone involved and, during this time, the nation’s landlords have been left wondering where they stand and what the future might hold for their investments.
“At least we now seem to be heading towards some greater certainty, with MPs having voted the bill through parliament and it now heading for Royal Assent.
“However, it’s likely to be many months still until the turbulence of this transition period subsides and the lettings sector can move forward with confidence.”
Sian Hemming-Metcalfe, operations director at Inventory Base, said: “The latest step towards Royal Assent should be viewed as a positive development for the rental sector, if only because it brings us one step closer to certainty in a process that has been anything but straightforward.
“Clarity and consistency are essential for all parties operating within the rental market, and this milestone means we can now move from conjecture to implementation after months of political ping pong.
“Whilst this certainly won’t reduce the burden facing many landlords, it will at least allow them to start getting their house in order – that is if they don’t decide to exit altogether.”
Sam Humphreys, head of M&A at Dwelly, said: “Landlords won’t welcome the news that the bill has now been voted through, but they’ve grown used to the Government’s continued tirade where rental sector reforms are concerned.
“For the professional landlord, the reality is that very little will change. They already provide quality accommodation that is fit for purpose and have the necessary processes and resources in place to traverse the changing face of the sector.
“Let’s just hope the Government finally decides to stop waging war on those who provide the vital homes needed to meet the huge demand for rental properties across the nation.”
