/ 19 Jul 2024

No fault eviction – What could it mean for you?

The King’s Speech this week, has as expected, looked to continue the previous government’s proposals to bring an end to the use of Section 21 notices. Now, given the title, The Renters’ Rights Bill, it seems certain that Section 21 notices will be banned, however, what will replace them are currently unknown and we await the draft bill. With almost 40 separate proposed bills contained within the King’s Speech there appears to be no time frame as to when this draft bill will appear but it does seem certain that Section 21 notices will be abolished as well as ‘new clear and expanded possession grounds’ will be introduced.

SamStorey

Solicitor

Property Litigation & Dispute Resolution

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Victoria Copeman

Partner

Head of Property Litigation & Dispute Resolution

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What is No-Fault Eviction?

No-Fault Eviction occurs when a landlord serves a section 21 notice on their tenant, giving them at least 2 months’ notice to vacate the property, as long as certain conditions have been met. These types of evictions are controversial because the landlord need not provide any reason for serving the notice, which can leave tenants in a vulnerable position, making it difficult for them to make long term arrangements, such as in relation to employment or schooling. Once the two-month period has passed, the court is bound to order the eviction of the tenant, if the tenant has not left during the notice period.

Abolition of No-Fault Eviction: What does this mean for tenants?

An obvious consequence of No-Fault Eviction is that landlords will no longer be able to hide behind the non-necessity of providing a reason for serving a notice on their tenant. In some cases, landlords have on occasion served a section 21 notice from the point at which a tenant begins complaining about the condition of a property. The only bar to a landlord doing this currently is if an Improvement Notice has been served by the local authority on the landlord. Some campaigners have complained that landlords have been empowered to effectively bully their tenants into submission. This reform aims to empower renters to raise issues relating to poor living conditions and to challenge possession proceedings that they believe lack legal grounding under the incoming reforms. It will also allow tenants to end their tenancies freely in cases of poor living conditions or changes in their circumstances.

Abolition of No-Fault Eviction: What does this mean for landlords?

The changes will see the introduction of ‘new clear and expanded possession grounds’. At this stage it is not clear what these new grounds may be but it does appear that there will have to be a breach by the tenant. It therefore appears that to recover possession, a Landlord will need to commence proceedings and attend a court hearing, similar to the current Section 8 proceedings to recover their property. It is expected that this will cost the Landlord more and most likely take longer and ensure that more cases are being heard at the local county courts.

Tenant vs Landlord: Who Wins?

Clearly, the bill will benefit the tenant more than it will benefit the landlord relative to the current law. It provides the tenant with more flexibility, freedom and security. Paradoxically, it could deter landlords from wanting to go through the process of seeking possession as it could entail having to prove their grounds for eviction in court, which can be both stressful and expensive. It is also proposed that the tenant will be able to challenge any rent increases and also be able to have a pet in the property more easily. There is reference to a possibility of insurance being taken out to cover any damage caused by the pet.

How can our property litigation solicitors help?

If you are a landlord and would like advice on seeking possession under the current law, or you are a tenant and would like to either challenge a notice for eviction or seek to end your own tenancy, please do get in touch by contacting us on +44 (0) 207 228 0017 or via the form below.

 

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If you would like to discuss the above in more detail with one of our property litigation lawyers please fill out the form below or call us on +44 (0) 207 228 0017.

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