The abolition of Section 21 notices (also known as no-fault evictions) is set to change the rental landscape in England. Part of the Renters’ Rights Bill, these changes aim to create a fairer system for tenants while ensuring landlords can still manage their properties effectively. But when will Section 21 be scrapped? Let's get into it.
When does Labour propose abolishing Section 21?
In Labour's 2024 manifesto, the government made claims it would happen 'immediately'. However, the Renters Rights Bill still has a way to go. The Bill was introduced in the House of Commons on 11 September 2024 with a second reading on 9 October 2024. The Bill still has other parliamentary stages to complete. There's no clear timeline on when the Bill could happen, though the BBC has reported plans for summer 2025.
Can landlords still use Section 21 notice?
For now, Section 21 of the Housing Act 1988 still stands. Landlords can still use Section 21 notices to end assured shorthold tenancies. Landlords issuing Section 21 notices today must still comply with existing rules, including providing adequate notice (usually two months) and ensuring compliance with deposit protection regulations. Any mistakes in issuing the notice can make the notice invalid.
According to the Bill, no new Section 21 notices can be served after the Chapter 1 Part 1 commencement date. This applies to both new and existing tenants. For Section 21 notices that are already in flight, landlords will have up to three months for possession proceedings.
Why does the government want to scrap it?
The government’s move to scrap Section 21 aims to improve security and fairness for tenants. In their own words, it will "provide more security for tenants and empower them to challenge poor practice and unfair rent increases without fear of eviction”.
Critics argue that no-fault evictions leave tenants vulnerable to retaliatory evictions and create housing insecurity. The abolition is part of broader housing reforms aimed at creating a balanced rental market. The government believes this change will create more stable tenancies, reduce homelessness and discourage landlords from evicting tenants with the aim of raising rents.
💬 According to Gov.UK: "Last year alone, nearly 26,000 households faced homelessness as a result of a Section 21 eviction and had to go to their council for support."
What does the abolition of Section 21 mean for landlords?
Once Section 21 is scrapped, landlords won't be able to evict a tenant without giving a valid reason. They can still regain possession through Section 8 notices (providing they have valid legal grounds).
The other key implications include:
Stronger tenant protections: Landlords will need to demonstrate valid reasons for evicting tenants, such as rent arrears, property damage or a desire to sell or occupy the property themselves.
Longer tenancies: Tenants may feel more secure staying in their homes for extended periods, potentially leading to fewer turnovers.
Increased administrative requirements: Landlords must ensure their compliance with evolving laws, including correctly issuing Section 8 notices and keeping comprehensive records.
Court concerns
One main concern over Section 21 being scrapped is whether the court system will be able to handle the change. Propertymark believes "Section 8 will bring more cases to court". With Section 21 abolished, it's likely that many more evictions could need a court hearing. With Labour planning to implement the change as quickly as possible, there's some concern over delays for landlords regaining possession before the reform.
What does the abolition of Section 21 mean for tenants?
The abolition of Section 21 is widely seen as a win for tenants, providing greater security and stability in rental homes. Some of the other key benefits for tenants include:
Greater housing stability: Tenants can feel more confident about remaining in their homes as long as they meet their obligations.
Empowered to report issues: Without the fear of retaliatory evictions or possession orders, tenants may feel more comfortable reporting maintenance issues or challenging unfair practices.
Improved housing standards: As part of the Renters’ Rights Bill, the government is also introducing reforms to ensure homes are safe and well-maintained.
Reduced homelessness risks: Stable housing arrangements are expected to decrease the likelihood of sudden evictions leading to homelessness.
Will Section 8 change?
Yes, Section 8 notices are expected to change to address landlords’ concerns and ensure the system remains fair. Section 8 allows landlords to evict tenants based on specific legal grounds, such as unpaid rent, anti-social behaviour, or a landlord’s intention to sell the property. The government plans to streamline the Section 8 process, making it:
Quicker and clearer for landlords to regain possession in legitimate cases
More robust to address issues like persistent rent arrears or tenant misconduct
These changes aim to strike a balance, ensuring landlords can manage their properties while protecting tenants from unfair treatment.
How can I keep up to date on the Renters’ Rights Bill?
Always check official sources. For the latest news and legislation on the Renters’ Rights Bill and the abolition of Section 21, check government websites or check for updates on the Department for Levelling Up, Housing and Communities’ site.
FAQs
Is Section 21 still valid?
Yes, landlords can still issue Section 21 notices until the abolition is implemented. However, landlords must follow the current legal requirements to ensure the notice is valid.
When will Section 21 be scrapped?
The exact date is yet to be confirmed, but the government has indicated its intention to abolish Section 21 as part of the Renters’ Rights Bill.
Why are no-fault evictions being banned?
The government aims to provide greater security for tenants and reduce housing insecurity caused by sudden, arbitrary evictions.
Will rents increase after Section 21 is abolished?
Some landlords might raise rents to offset perceived risks, but the government is introducing measures to maintain a balanced rental market.
How will landlords evict tenants without Section 21?
Landlords can use Section 8 notices if they have valid legal grounds, such as non-payment of rent or a need to sell the property.
Final thoughts
The abolition of Section 21 is pivotal moment for the UK rental market. While it may pose challenges for landlords, it also bring opportunities for longer-term, stable tenancies. Both landlords and tenants must stay informed about the evolving legislation and adapt accordingly. Whether you’re navigating the abolition as a landlord or embracing the increased security as a tenant, understanding the implications will be key to thriving in this new rental landscape.
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