The Renters’ Rights Bill is on the verge of Royal Assent, with Housing Minister Matthew Pennycook confirming that most of the major measures remain intact. While the Labour Party claim the Bill is a long-overdue modernisation of the private rental sector, their handling of the amendments proposed by the Lords has revealed their firm stance against concessions to landlords.

Rejected amendments

Peers in the House of Lords had tabled nearly two dozen amendments, many of which sought to provide additional flexibility for landlords. However, the bulk were rejected. Among those dismissed were:

• Expanding the possession ground 4A to also apply to one-bedroom and two-bedroom properties let to students.
• Extending possession ground 5A to other types of agricultural workers, regardless of their employment status.
• Introducing a new possession ground 8A which would allow a landlord to seek possession of their property where it was needed to house a carer for the landlord or for a member of the landlord’s family.
• Reducing from 12 months to six months the restricted period during which landlords cannot relet their property if vacant possession was gained in order to sell a property.
• Enabling a primary authority to give assured advice to lettings agents on achieving compliance under the Tenant Fees Act 2019.
• Requiring local authorities to meet the criminal rather than civil standard of proof when imposing financial penalties for breaches of the rental discrimination and rental bidding requirements.

Pennycook defended these rejections, stating that landlords might exploit such concessions, a justification that has sparked backlash.

Marc von Grundherr of Benham and Reeves criticised this position, saying: “Matthew Pennycook has justified rejecting the majority of Lords’ amendments by suggesting that landlords would exploit any concessions to behave poorly.

“This narrative is both unfair and inaccurate. The vast majority of landlords are honest, hard-working individuals who operate in an ethically sound manner and provide a vital service to millions of tenants. Demonising them is not only misleading, it risks further destabilising the rental market at a time when supply is already critically short”.

Accepted Amendments

The Minister also introduced his own amendments. These included:

• Exempting PBSA accommodation from the Bill.
• Giving landlords three months to evict tenants as long as possession notices are served before the Bill becomes law.
• Giving the Secretary of State powers to amend the Section 13 rent increase rules at a later date if a backlog of cases builds up in the courts.
• Enabling landlords to keep rent in advance for existing tenancies once the legislation goes live.
• Allowing councils to enter properties to inspect conditions without prior notice.

Many landlords remain uneasy in the face of the huge changes that will be brought about by the Bill. The rejection of amendments designed to ease pressures has reinforced concerns about fairness and balance.

Sam Humphries of Dwelly warned of consequences already being felt: “Even before this Bill has been implemented we’re already seeing a rise in landlord repossessions, driven by a lack of trust in the court system and a desire to regain control of their portfolios before these changes come into effect”.

Implementation date undecided

Yet uncertainty persists, as the Government has not set a date for implementation. Pennycook has pledged a “smooth transition to the new system” and said: “Existing tenancies will convert to the new system and any new tenancies signed on or after the date will be governed by the new rules”.

Ben Beadle of the National Residential Landlords Association welcomed the promise of notice but stressed the need for more clarity: “With the Bill now close to receiving Royal Assent, the Government needs to make clear how long after this it expects to begin rolling out the widespread reforms. The sector cannot operate, and plan, based on vague and ambiguous statements”.

For landlords, the rejection of most Lords’ amendments underscores the Government’s determination to press ahead with reforms without compromise. The few adjustments that were accepted or introduced by ministers will not significantly offset the wider changes, leaving many landlords facing a radically transformed rental landscape.