Converting a tenancy into an occupation contract
Last updated 7 June 2023 - updated templates for those serving written statements late
Introduction
On December 1 2022, when Renting Homes Wales came into force, all existing assured shorthold tenancies and licences in Wales converted into occupation contracts.
These new occupation contracts operate differently, with a number of significant changes that landlords and tenants need to comply with and be aware of.
To ensure that everyone is aware of their changing rights and responsibilities, landlords are required to provide updated terms to their tenants no later than May 31 2023. The new contracts will be a blend of clauses from the existing AST and the mandatory terms from the legislation.
Alongside this, landlords need to be aware that some of the Renting Homes Wales legislation operates differently for pre-existing tenancies. For example, notice periods differ depending on when the contract began. Landlords with converted contracts are also given additional time to comply with some of the regulations around providing information and fitness for human habitation.
This page provides guidance on converting an existing tenancy agreement into a new occupation contract. It also provides guidance on the key differences in law for converted contracts.
Missed deadline
The deadline has now passed for landlords to convert their tenancy agreements without potentially incurring penalties.
If you have not yet issued a converted written statement then tenants may seek compensation if:
- you have not provided a written statement, or served an incomplete or inaccurate one;
- the property does not have an electrical installation condition report (EICR), hard-wired interlinked smoke alarms fitted on every floor of the property and a carbon monoxide alarm in every room with a solid fuel source
In addition, you may not serve a Section 173 notice to end the tenancy until at least six months has passed since you provided a written statement;
This page includes detailed guidance on the conversion process from ASTs to Occupation Contracts, including which terms to amend, sample resources which are reserved for NRLA members. It also includes templates for converting your own contracts. It has been updated to include the latest draft legislation published by the Welsh Government.
In order to gain access to this guidance you will need to register as a member, which will also grant you access to all of the support on our website. Click on the link below to register and gain access