Industry reacts as Renters’ Rights Bill set to become law
The Renters’ Rights Bill has cleared its final stage in the Commons with Housing Minister Matthew Pennycook confirming that the Government has rejected almost all amendments proposed by the House of Lords. The legislation is now set to proceed through its final ‘ping-pong’ stage before receiving Royal Assent, with all of its major measures intact including the abolition of Section 21, the introduction of a Decent Homes Standard, and the end of Assured Shorthold Tenancies.
Sam Humphreys, Head of M&A at Dwelly, commented:
“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.
With only minor amendments made to the Bill and the abolition of Section 21 evictions set to go ahead, this trend is only likely to intensify, putting even greater strain on the courts and leaving many more tenants without a roof over their head.
It underlines the unintended consequences of pushing through sweeping reforms without properly considering the realities of the rental market.”
Marc von Grundherr, Director of Benham and Reeves, commented:
“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 – so it’s extremely disappointing to see landlords used as a scapegoat to prevent the necessary changes required to balance the Bill.
Sian Hemmings, Head of Partnerships at Inventory Base, commented:
“This Bill cannot be allowed to drift endlessly between the Commons and Lords. Minor amendments are no substitute for real direction, and the reality is stark: only one in six landlords are ready for the RRB. Unless Parliament delivers clarity now, uncertainty will harden into paralysis across the rental sector.”
“While the Bill looks set to move towards Royal Assent, it is likely we will see it bounce back and forth between the Commons and Lords, with previously tabled amendments adjusted and resubmitted in an attempt to find more balance.
The industry needs clarity and consistency, especially at a time of such radical change, but at present there remains nothing but ongoing uncertainty.”
Vann Vogstad, CEO of Coho, commented:
“HMOs will be hit first and hardest by this legislation. These properties are already subject to a huge amount of regulation, yet they play a crucial role in providing affordable, flexible accommodation across the UK. Any further pressure risks reducing availability in this vital part of the sector, ultimately to the detriment of the very tenants the Government claims to be protecting.”
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