Overview

The Rented Homes Bill aims to abolish assured shorthold tenancies in England and expand the grounds on which landlords can regain possession of their properties. This involves amending the Housing Act 1988 to create a new, more defined system for tenant evictions.

Description

This bill makes significant changes to the Housing Act 1988. Primarily, it abolishes assured shorthold tenancies (ASTs), a common type of tenancy agreement. However, this abolition is phased in over a three-year period: existing ASTs will remain in place for three years before converting to the new tenancy structure. New tenancies will be subject to the changes immediately upon the bill's enactment.

New Grounds for Possession

The bill also expands the grounds for which a landlord can legally evict a tenant. New grounds include:

• The landlord or a family member intends to live in the property (requiring at least 12 months' occupancy intent and potentially requiring written notice to the tenant).
• The landlord intends to sell the property (evidence of active marketing efforts required).
• The property is needed for religious purposes (strict evidence required regarding the religious organization's need).
• The landlord needs to carry out substantial refurbishment works (evidence of the impracticality of continued tenant occupancy during renovations).

Existing grounds for possession are also modified to require a higher degree of evidence. The bill also allows the Secretary of State to define "associated person" for sale purposes and to specify further evidence which may be considered for grounds for possession via statutory instrument and parliamentary approval.

Transitional Provisions

The bill includes transitional provisions to manage the shift from ASTs. Existing tenancies will generally not be affected for three years post-enactment. Exceptions exist for legal action already underway.

Government Spending

The bill doesn't directly specify government spending figures. The potential impact on government spending is indirect and difficult to quantify, potentially through changes in legal aid usage due to increased landlord-tenant disputes or social housing programs to alleviate displacement.

Groups Affected

• Tenants: The impact on tenants depends on their current tenancy agreement and the reasons for potential eviction. Some tenants might face greater risk of eviction under the new grounds, while others might benefit from stronger tenant rights in new contracts post-abolition of ASTs.
• Landlords: Landlords will face stricter requirements for evicting tenants, requiring more evidence to be presented to courts. This may impact their ability to reclaim properties for personal use, refurbishment, or sale.
• Solicitors and Courts: Increased landlord-tenant disputes may lead to a higher workload for solicitors and courts.
• Housing Associations and Local Authorities: They might experience increased demand for social housing if private renters face eviction.

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