The Renters’ Rights Bill Explained for Landlords in Greater Manchester 

The Labour government has outlined their commitment to introducing major reforms to legislation for the private rental sector, wasting no time in presenting their Renters’ Rights Bill to the UK Parliament. 

If you are a landlord in Greater Manchester areas such as Milnrow and Norden, you’re probably wondering how the new bill will affect you and whether there are any key differences from the Conservatives’ Renters’ Reform Bill. 

The old bill was not passed into law prior to the General Election, so the Renters’ Reform Bill was scrapped. However, the new Renters’ Rights Bill has carried over many similar changes to regulations that will have a significant impact on landlords. 

This article explains the key changes to expect from the Renters’ Rights Bill. 

What is Labour’s New Renters’ Rights Bill? 

Labour’s Renters’ Right Bill is new legislation for the private rented sector that is aimed at improving standards and tenants’ rights. The current draft that was presented to the UK Parliament is 226 pages long, with many significant changes that will affect both tenants and landlords. 

The bill includes a long list of new measures that will strengthen tenants’ rights, protect tenants from unfair rent increases and provide more clarity around grounds for eviction.  

We break down the key points of the Renters’ Rights Bill that Labour has shared, in the sections below. 

When Will the Renters’ Rights Bill Become Law? 

The new bill was presented in the House of Commons on 11 September 2024 and had its second reading on 9 October 2024. The process of passing a bill through Parliament has many stages, including receiving Royal Assent, so we can expect it to take a while for the Renters’ Rights Bill to become law. 

It is likely that the Renters’ Rights Bill will be passed in spring or summer of 2025. The pace at which a bill is passed through Parliament varies and there may be amendments made, which can extend the timeline further. 

Renters’ Rights Bill: The Key Points 

The overview of the bill measures included the following key points that will impact landlords: 

End of Section 21 Evictions 

Under the previous government’s Renters’ Reform Bill, the plan to abolish section 21 no fault evictions was set to be introduced but the government wanted to wait until reforms for the justice system were in place. The new bill carries the abolishment of section 21 over, bringing fundamental changes for landlords when it comes to the eviction process. The government has outlined their intention to prioritise this, so  

Landlords will no longer be able to evict tenants without providing one of the acceptable reasons and eviction due to selling the property will not be allowed in the first 12 months of the tenancy. Landlords will also need to provide 4 months’ notice if they are selling, to give tenants more time to find a new home. 

Introduction of Periodic Tenancies 

The new bill will also have significant changes to tenancy types, as fixed term tenancies will be replaced with periodic, rolling tenancies. This will give tenants more freedom to move out of properties. Under the new periodic tenancies, tenants will only need to give 2 months’ notice when they want to move out. Once the bill is in force, all new tenancies will be periodic, and all existing tenancies will be converted to periodic ones. 

Changes to Grounds for Possession 

With section 21 evictions being abolished, landlords will need to follow the process for section 8 ground for possession to evict tenants. The list of acceptable reasons for regaining possession includes selling the property, redevelopment and moving into the property as their main residence. 

Decent Homes Standard for the Private Rental Sector 

The Decent Homes Standard that already applies in the social housing sector will also be introduced into the private rented sector under the new legislation. This will help to raise the standard of rental homes to ensure they are “decent, safe and warm”. There will be a set of minimum standards that all private rented properties will need to meet, 

Awaab’s Law 

The new bill carries both the Decent Homes Standard and Awaab’s Law into the private rented sector. Awaab’s Law includes legal duties for landlords to address hazards such as damp and mould within a set timeframe. The social housing rules require landlords to investigate reports of damp and mould within 14 calendar days. 

More Tenants’ Rights for Pet Ownership 

The Renters’ Rights Bill will make it easier for tenants to keep pets in rental properties, as landlords will not be allowed to unreasonably refuse a tenant’s request to keep a pet. Landlords will be able to charge fees to the tenant to reimburse the costs of insurance to cover pet damage. 

Changes to Rent Increase Rules 

The UK government wants to protect tenants from being drawn into bidding wars and higher than fair rents. It will be illegal for landlords to accept higher than market rate rent. Rent increases will also be limited to once per year and if a tenant believes that the landlord is proposing a rent increase that is higher than the market rate, they will have more security to challenge rent increases without fear of being evicted. 

New Anti-discrimination Measures 

Currently, landlords can advertise their rented properties to exclude certain people, such as “No DSS”. Under the new bill it will be illegal for landlords to discriminate against tenants in receipt of benefits or with children. 

More Powers for Local Councils 

The government will be extending local authority powers by increasing the limit of civil penalties to £40,000 when there is a breach of regulations. Under the new bill, local authorities will also have more power to recover rent repayments through a Rent Repayment Order for landlords who commit certain offences. 

New Property Ombudsman and Digital Database 

There are also plans to establish a new landlord ombudsman service, with compulsory membership. Landlords will be required to pay an annual membership, and the system is expected to help get quicker resolutions to disputes between tenants and landlords. 

The Renters’ Rights Bill also includes plans to introduce a new digital database that will provide more transparency around landlord details and which properties are being rented out. 

If you are a landlord in areas of Greater Manchester including Bury, Saddleworth and Oldham, Cowell Norford can help you to navigate the upcoming changes.  

Contact us to find out what you will need to do to comply with the new Renters’ Reform Bill once it comes into force. 

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