No punches pulled as Renters’ Rights Bill back in Lords

A hard-hitting briefing, outlining the potentially devastating consequences of the Renters’ Rights Bill has been issued to Lords ahead of Second Reading on Tuesday. 

The NRLA is calling for urgent changes to ensure tenants most in need, including those on the financial margins, are still able to find rental homes. 

In the four-page briefing we outline indisputable facts from a range of independent and respected industry sources, which support our claims that we are in the midst of a supply and demand crisis that is only set to get worse. 

This includes data from property platform Zoopla, which shows the number of enquiries about every home to rent is currently 31% higher than pre-pandemic levels, with figures from the English Private Landlord survey showing 31% of landlords are planning to sell homes, up from 22% four years ago. 

In addition to this, data from Oxford Economics shows that only one in eight renters able to afford to buy a property close to where they live, it is also clear that demand for rental homes is not going away. 

Sticking points with the Bill as it stands 

The NRLA has identified a number of serious issues with the version of the Bill that has been passed up to the Lords from the Commons, which we believe will:  

• Make it harder for tenants on the financial margins – or moving from abroad – to demonstrate their ability to pay their rent, excluding them from rented homes 

• Make it harder for students to access housing  

• See the Property Tribunal overwhelmed by demand, causing potentially expensive delays. 

We are also concerned it includes no clear plan for ensuring the courts are ready for change or timetable for implementation. 

All these risk factors will impact the Bill’s ability to meet its aims and bring about positive change for a sector that is already in crisis. 

What are we asking for?

The NRLA is asking for a full implementation plan for the changes being brought forward in the Bill – and a clear plan for the justice system, to ensure it has the confidence of landlords and tenants. 

We are also calling for a series of amendments that will ensure that the Bill is fair and workable in practice. These include: 

• The introduction of a system to assess rent increases before disputes are sent to the tribunal: This would be developed in conjunction with the Valuation Office, which could advise on market rents. 

• Changes to mitigate the risk of arrears: These include a move which would allow an initial rent payment to be paid as a condition of a landlord agreeing to a tenancy, and the reintroduction the two-month threshold for rent arrears when it comes to triggering possession proceedings using the mandatory ground. 

• Changes to the student possession ground: These would extend the ground allowing it to be applied to one and two bedroomed student homes, and allow students to pay rent by term (rather than monthly). 

NRLA Chief Executive Ben Beadle said: “Let’s be clear, the NRLA is not anti-reform. There are a number of changes within the Bill that we support, including the introduction of a Decent Homes Standard to the PRS, the extension of Awaab’s Law and measures to tackle discrimination, amongst others. 

“However, we need Peers to understand both the likely implications of the Bill, on tenants as well as landlords, and the simple changes that could be made to ensure that, once passed, the Bill is workable and fair to all. 

“If left unamended the Renters’ Rights Bill does not provide the promised balance and will destroy any remaining confidence landlords have to invest in much needed homes.” 

More information 

• The Second Reading of the Bill take place in the House of Lords next Tuesday, 4 February. 
• For more on the NRLA's approach to the Bill and our campaigns work read a blog by our policy director Chris Norris here.

• You can keep up to date with all the developments of the Renters Rights Bill, by accessing our exclusive member Hub here.   

• Extra dates have been added for our new Renters’ Rights course, after training sessions sold out in record time. For more information and to book click here.  

• Be sure to follow us on social media and sign up for our newsletters for all the latest news and updates on the Bill and its progress