Landlords could face fines of up to £7,000 for each property they own if they fail to provide a document to their tenants before the end of this month. This document, a PDF detailing the new Renters’ Rights Act effective since May 1, must be shared with tenants by May 31. Failure to comply may lead to fines imposed by the local council.
The official information sheet from GOV.UK outlines the changes introduced by the Renters’ Rights Act and how it impacts tenancy agreements. It is the responsibility of either the landlord or their letting agent, depending on the agreement in place, to ensure that this document reaches the renters.
In cases where the letting agent manages the tenancy on behalf of the landlord, the letting agent is typically tasked with sending the document. However, if the document is not delivered on time, it is the landlord who faces the risk of being fined.
A significant change brought about by the Renters’ Rights Act is the prohibition of Section 21 “no fault” evictions. Landlords can still evict tenants with valid reasons such as selling the property or rent arrears, but they must now give four months’ notice.
Another key change is the elimination of fixed-term tenancies, with all lettings transitioning to rolling tenancies without set end dates. Tenants under fixed tenancies will automatically convert to rolling tenancies.
Under the new regulations, tenants are required to give two months’ notice before leaving the property, as opposed to the previous one-month notice for those on rolling contracts. Landlords must also provide tenants with two months’ notice of any rent increase, limited to once a year, using a Section 13 notice.
Furthermore, landlords are no longer permitted to request more than one month’s rent in advance, and rent cannot be demanded or accepted before the official signing of the tenancy agreement. Rent bidding wars are prohibited, and properties must be let based on the advertised rent.
Additionally, landlords are now encouraged to consider allowing tenants to have pets, with refusal only permissible with a valid reason.