Landlords welcome crucial amendments to Renters' Rights Bill

The House of Lords has proposed significant amendments to the Renters’ Rights Bill, a move welcomed by landlords and property professionals who have long called for a fairer balance between tenant protections and landlord rights. These revisions, tabled on 26 February 2025, address key concerns around fixed-term tenancies, rent control measures, and Section 21 evictions.

Fixed-term tenancies and student lets safeguarded
One of the most notable proposed changes is the retention of fixed-term tenancies, which would allow landlords and tenants to agree on rental terms of up to 12 months. This amendment, introduced by Lord Truscott, aims to maintain stability in the rental market while giving tenants security and landlords greater certainty over occupancy.

Baroness Scott of Bybrook has also pushed for a crucial adjustment that ensures student lets remain workable by allowing tenancies specifically designed for students to retain fixed terms. Without this amendment, the student rental market could have faced major disruption, with landlords deterred from offering housing to students due to concerns about indefinite tenancy agreements.

Allison Thompson, National Lettings Managing Director at Leaders Romans Group (LRG), expressed strong support for these changes, stating, “It is crucial that these amendments are properly considered to ensure the Bill strikes the right balance between tenant protections and the continued viability of the private rented sector.” She further emphasised the importance of fixed-term tenancies, rent increases linked to inflation, and judicial capacity assessments before the removal of Section 21.

Delays to Section 21 abolition welcomed
The removal of Section 21 “no-fault” evictions has been a major point of contention. The House of Lords amendments include a delay to its abolition until an assessment of court capacity is completed. Baroness Scott of Bybrook and Lord Jackson of Peterborough introduced proposals ensuring that small landlords, who own fewer than five properties, can continue to issue Section 21 notices. This aims to protect independent landlords who may lack the financial resources to engage in lengthy court disputes.

Thompson welcomed this delay, highlighting that “a well-functioning rental market relies on fairness for both tenants and landlords, and these proposed changes help move us towards a more balanced and workable framework.” Many in the industry have argued that removing Section 21 without first improving court efficiency would lead to an unmanageable backlog of eviction cases, leaving landlords in limbo when dealing with problem tenants.

Index-linked rent increases offer stability
The proposed amendments also include provisions for rent increases to be index-linked, rather than dictated by unpredictable market fluctuations. This would provide landlords with a structured framework to adjust rents in line with inflation while ensuring tenants are not subjected to sudden, excessive increases.

Additionally, Baroness Scott of Bybrook has advocated for measures preventing tenants from appealing all rent increases simply to delay their implementation. This aims to strike a balance between affordability for tenants and financial viability for landlords.

A step towards stability in the private rented sector
The House of Lords’ proposed changes to the Renters’ Rights Bill represent a victory for landlords who have been calling for a more balanced approach to rental reform. By retaining fixed-term tenancies, ensuring student housing remains viable, delaying Section 21 abolition, and implementing index-linked rent increases, these amendments acknowledge the crucial role landlords play in the UK’s housing market.

However, while these proposals are a step in the right direction, the future of the bill remains uncertain. Landlords will be watching closely as discussions continue in Parliament, hoping that policymakers recognise the need for a system that works for both tenants and property owners alike.

 

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Editorial Team
Residential Landlord provides independent news, analysis, and insight for UK property investors and private landlords. We cover the regulations, market trends, and finance issues shaping the buy-to-let sector. Our editorial team is led by Leon Hopkins, author of The Landlord's Handbook.