The new PSH Renters’ Rights Bill is in the pipeline, but how will this affect the rental sector?

Before the General Election the latest Renters’ Reform Bill, announced in 2019, had seemingly disappeared from the government agenda. Under Britain’s new management, however, the Bill has been reignited and is expected to be put into legislation in 2025. This is thanks in no small part to the collaboration between the CIEH, the House of Commons Renters’ Bill Committee, the Renters’ Reform Coalition and deputy Prime Minister Angela Rayner. Because of their efforts the Bill has now been published, five years after Theresa May’s government announced its original iteration.

The bill will bring an end to section 21 evictions, will apply a Decent Homes Standard to private rented housing, introduce a new ombudsman for private landlords, and will include the creation of a private rented sector database, which will mean more effective targeting of housing licensing schemes. The Labour version of the Renters’ Bill will also apply ‘Awaabs Law’ which will enforce strict repair times for potential health hazards in private rented homes.

One potential issue that Mark Hope, Senior Policy and Public Affairs Executive at CIEH, has raised is the question of funding for the application of the new policy. When speaking with EHN magazine Mr Hope said “We are concerned about the large enforcement burden that provisions of the Bill will impose on local authorities.” The changes will only be effective if the necessary funding is provided to the administration of the new laws. A solution suggested by the CIEH was changing laws around licensing schemes to make it easier for them to be used for housing standards and lengthen their maximum duration from five years to ten years.

Another potential issue is one of clarity. The 2004 Housing Act’s licensing legislation allows the use of licensing schemes to address poor housing conditions but does not include a direct standard for housing conditions as a condition of the license. In order to successfully improve the quality of private rented housing to an acceptable level, it must be clear and concise as to where that level is. This is why housing standards need to be consolidated nationwide.

At Buckingham Futures we have some questions about what the Bill means for local authorities and the professionals involved in meeting these goals.

How might these new implementations affect inspection times?

Will there be a time strain on local authorities, given the extra care they will have to take?

What are the areas that would most need funding?

Will an increased number of inspection officers be required?

How much of an impact will the proposed licensing scheme changes have?

Do you have any thoughts or ideas on this topic? Let us know in the comments!