Sarah Taylor, Property Litigation Partner at Excello Law, has provided comments for Property Week and Buy Association on the new Renters’ Rights Bill. The Bill, which recently reached its report stage and third reading in the House of Commons, has sparked widespread debate within the housing sector. While its aim is to protect tenants, it has also raised concerns among industry experts about potential unintended consequences.
The proposed legislation includes significant changes such as reforming eviction rules, removing discrimination against tenants with pets or on benefits, and replacing assured shorthold tenancy agreements with periodic tenancies. Additionally, new amendments, including limits on how much rent landlords can take in advance, were debated during the session.
Taylor commented on the controversial proposal to ban landlords from requiring large upfront rent payments. “This can leave landlords at risk of unpaid rent. However, it is onerous and potentially discriminatory to require large payments of rent upfront. Tenants may be able to pay their rent regularly but may not be able to save up a significant amount of rent to pay up front. This proposal should assist in making rental accommodation accessible. It highlights the difficulties in trying to balance the interests of landlords and tenants in the legislation.”
Industry bodies, including the National Residential Landlords Association (NRLA), have strongly opposed the ban on upfront rent, warning it could reduce housing access for tenants with poor credit or fluctuating incomes. These groups argue that the ban might inadvertently harm tenants by limiting their housing options.
Taylor also commented on other amendments, including limiting guarantors’ liability for rent after a tenant’s death and creating a new ground for possession of alternative accommodation during redevelopment. On the former, she said it seemed “sensible” as it encourages landlords to re-let properties quickly, benefiting both landlords and housing supply. Regarding redevelopment, she noted, “It will be interesting to see how this is dealt with practically if the amendment is agreed.”
The Renters’ Rights Bill continues to divide opinion, with advocates praising its efforts to protect tenants and critics warning of potential risks to housing availability and affordability.
