To end the scourge of section 21 evictions as quickly as possible, we will introduce the new tenancy for the private rented sector system in one stage. On this date the new tenancy system will apply to all private tenancies – existing tenancies will convert to the new system, and any new tenancies signed on or after this date will also be governed by the new rules. Existing fixed terms will be converted to periodic tenancies, and landlords will no longer be able to serve new section 21 or old-style section 8 notices to evict their tenants. This single date will prevent a confusing 2-tier system, and give all tenants security immediately.
We will work closely with all parts of the sector to ensure a smooth transition to the new system, and will provide sufficient notice ahead of implementation. The bill makes specific provision to ensure a smooth transition and avoid unnecessary ‘cliff edges’, for example maintaining the validity of rent increases and notices served prior to implementation.
We remain committed to abolition of section 21 in the social rented sector too. While our intention is to do this as quickly as possible, we consider it necessary to update our Direction to the Regulator of Social Housing so that they can update their Tenancy Standard. This will ensure it is clear what registered providers must do under the new system. As this requires a statutory consultation process, we will apply the new system to social tenancies (where the landlord is a private registered provider of social housing) at a later date.
Assured shorthold tenancies are typically only used in the social sector where there was an expectation that a tenancy would be for the short-term. As such, the majority of social tenants already enjoy secure assured tenancies, which have greater security and do not allow the use of section 21.
To learn more, click here to book your Landlord & Property Ownership Workshop today!