The Renters’ Reform Bill, currently under detailed scrutiny in the House of Lords, marks one of the most significant shifts in private rental legislation in recent decades. The Lords’ first day of committee discussions revealed clear intentions, a variety of concerns, and areas where further review is promised. Here’s what UK landlords need to know:
Key Takeaways from the Lords’ Discussion
1. Defining the Purpose of the Bill
The Lords debated an amendment to require the Secretary of State to consider the Bill’s primary purpose: improving renters’ ability to secure, fairly priced, decent quality housing.
The government emphasised that the Bill already provides this clarity, aiming to “level the playing field” between landlords and tenants.
2. Abolition of Section 21 (‘No-Fault’) Evictions
A major point of agreement across parties is the abolition of Section 21, long considered a source of insecurity for tenants.
Future tenancies will be periodic, and landlords will need to provide statutory grounds for possession.
The Lords and Ministers alike stated their intent to stand firm on removing ‘no-fault’ evictions, viewing this as essential to greater tenant security.
3. Concerns About Rental Supply
Several Lords, particularly from the Conservative benches, warned that the Bill may discourage landlords, reduce available rental homes, and drive up rents.
Recent surveys were cited, suggesting a high proportion of landlords plan to reduce their portfolios or increase rents as a direct response to proposed reforms.
4. Market Monitoring and Impact Reviews
Amendments were proposed (and will be reviewed further) to require ongoing assessment of the Bill’s impact—particularly on rental supply, house prices, and pressure on social housing.
There is strong cross-party support for regular reviews to ensure that the legislation does not inadvertently harm tenants by reducing supply or affordability.
5. Anti-Social Behaviour Provisions
The Lords debated whether the Bill goes far enough in allowing landlords (particularly social landlords) to tackle anti-social behaviour.
Proposals to retain certain powers, like ‘demotion orders’, were not adopted, as Ministers argued these are incompatible with the new tenancy regime.
However, the government did highlight new and existing powers for landlords to address anti-social behaviour, and agreed to review how evidence standards and practical procedures can be clarified further.
6. New Build and Build-to-Rent Sector
There were calls to allow short-term tenancies (ASTs) for new-build properties to encourage development.
The government was clear: no exemptions to the abolition of Section 21. However, they remain open to working with the sector on alternative incentives for boosting new supply, without undermining tenant security.
Action Points Taken Away for Review
Ongoing Monitoring: The government and opposition are united in the need for rigorous review of the Bill’s impact, particularly on rental supply, rent levels, and requests for social housing.
Anti-Social Behaviour: Ministers will revisit how standards of evidence and enforcement for anti-social behaviour can be improved, to ensure landlords retain adequate powers.
Build-to-Rent Incentives: The Lords have requested updates on how the government will support new rental supply, especially in the absence of Section 21.
Clarification for Landlords: The House has called for further government guidance and clarity on landlord obligations and rights under the new regime, as well as support for dealing with challenging tenants.
What This Means for Landlords
Increased Regulation and Greater Scrutiny:
Landlords should expect heightened requirements around tenancy management, and a much-reduced ability to regain possession of properties without specific grounds.
Shift in Powers:
Landlords will need to rely on prescribed legal grounds for eviction, and be ready to evidence those grounds if challenged. This may require more robust record-keeping and property management processes.
Potential Impact on Supply and Rents:
While the Bill aims to protect tenants, many Lords remain concerned about possible landlord exits, shrinking supply, and rent increases—outcomes that will be closely monitored.
Focus on Anti-Social Behaviour:
Landlords—especially those managing HMOs and social housing—should be aware of strengthened, but more narrowly defined, routes for tackling anti-social behaviour, and may need to engage with new evidence standards.
Sector Support and Guidance:
The Lords and government have committed to clearer guidance and support for landlords as the reforms roll out.
In Summary:
The Renters’ Reform Bill is set to fundamentally rebalance rights and responsibilities in the UK’s private rented sector. Landlords will face more oversight, but also clearer expectations. As the Bill progresses, further reviews and amendments may be made—so it is essential for landlords to stay informed and consider updating their practices in anticipation of these landmark changes.
For advice on preparing for the Renters’ Reform Bill, or to discuss how these changes may affect your properties, please get in touch with our team.
