In the Queen’s Speech yesterday, there was disappointment for renters as there was no announcement of the previously mooted ‘Renters’ Reform Bill’.
However, there were some reasons to be optimistic about the future:
The government has promised to publish its response to a consultation as to whether ‘no fault’ evictions (e.g. through Section 21 Notices) should be banned, to prevent people being evicted unjustifiably. This would give more power to renters, as landlords can currently serve a notice to evict a tenant without having to give a reason, which can sometimes lead to tenants being evicted for spurious or retaliatory reasons.
Lifetime tenancy deposits
Having previously discussed this in 2019, the government also said it would bring forward proposals for a lifetime tenancy deposit model. It’s proposed that tenants would register a single deposit, which could then be transferred to a new property when a tenant moves. The idea behind the proposed model is to alleviate the issue tenants can experience when moving between properties, where they have to find a deposit for a new property (usually around 5 weeks’ rent) whilst waiting to receive back the deposit on their previous accommodation.
It is not yet clear how the government proposes dealing with the situation where a tenant wishes to transfer a deposit which is subject to claims by a landlord for unpaid rent, disrepair etc.