The Renters Rights Bill is expected to become law within months, though certain complex provisions may not take effect until 2026 or even 2027.
Timeline and Progress
The Bill has cleared the Committee Stage in the House of Lords. The next phase, the Report Stage, begins tomorrow, with further debate sessions scheduled by mid-July. Royal Assent is anticipated in early September after the summer recess of the House of Commons.
Implementation Phases
Some changes, such as those to tenancy agreements and possession rules, could be implemented later this year. However, more detailed measures, including the establishment of a landlord and agent database and the Decent Homes Standard, are likely to come into effect in 2026 or 2027.
Preparatory Steps for Letting Agents
1. Informing Landlords
Letting agents should make landlords aware of the potential for increased costs and risks, including:
- Extended void periods, particularly for HMOs and student accommodations.
- Delays in regaining possession through the courts.
- Restrictions on rent collection, such as bans on advance payments before tenancy agreements are signed.
- New fees associated with mandatory schemes such as the landlord database and Ombudsman membership.
Landlords should also understand the consequences of non-compliance, which could include civil penalties of up to £7,000 for minor infractions and up to £40,000 for repeated or severe violations. Serious breaches may lead to criminal prosecution and unlimited fines.
2. Auditing Portfolios
- Be in a good state of repair.
- Provide adequate thermal comfort.
- Features modern facilities, such as kitchens under 20 years old and bathrooms under 30 years old.
Additional considerations include addressing issues like mould, extreme temperatures, major structural problems, and risks such as carbon monoxide leaks.
3. Updating Procedures and Training Staff
