Michael Gove confirms “No-fault evictions will be "outlawed".
This morning, Housing Secretary Michael Gove told Laura Kuenssberg of the BBC that ‘No Fault Evictions’ will be banned by the next general election.
It’s difficult to watch this play out in a “Ground Hog” kind of way because since the announcement was made in 2019 that Section 21 (Form 6A) notice would be abolished, nothing much has really changed.
Of course, the Renters Reform Bill which will serve as the vehicle to abolish the Section 21 notice, is currently at the Report Stage, but the government has clearly stated that a ban of the notice cannot be enacted until the court system is improved, something confirmed by Michael Gove last year.
When asked by Laura Kuenssberg if he could guarantee that ‘unlawful evictions’ would end by the time of the next general election, Mr Gove responded that: "We will have outlawed it and we will have put the money into the courts in order to ensure that they can enforce that." A woolly response that is most definitely not possible because reforming the courts will not be a quick fix.
What next for the Renters Reform Bill?
A lot of chatter has appeared in the trade press over the last 24 hours regarding the Renters Reform Bill and the intentions of the Labour Party if they win a general election. A lot of the discussion circulates around the abolition of Section 21 (Form 6A), so much so that landlords are constantly having a ‘knee jerk’ reaction every time the trade press, national press, TV reports, a blog make reference to the notice disappearing. This has lead to many landlords selling up and exiting the letting sector.
With the greatest of respect to all those who report on the Renters Reform Bill, it’s irresponsible to mislead landlords in this way; landlords who in 2019 reacted to the initial proposal of abolishing the Section 21 notice were unfortunately mislead into thinking that firstly the notice would be abolished imminently. But let’s also think about tenants and the impact this ‘misinformation’ has affected them. Many tenants could have avoided having notice served on them and worse still, facing accelerated possession through the courts and possibly eviction. It has not and will not be abolished for a while.
Renters Reform - What will this mean for the PRS?
A lot of discussion has taken place since June 2022 when the government announced that the PRS would be Levelled Up, but what does that actually mean in practice and how will the Renters Reform Bill impact landlords, tenants and the PRS?
Firstly, one of the key points to consider is to ignore the trade press and national press who lead with headlines and never factor in the detail.
Abolishing Section 21
A lot of emphasis has been placed on ‘no fault Evictions’ when in fact what should actually be referred to is the service of notice to obtain vacant possession’. There is no way of evicting a tenant just by serving a section 21 and to clarify, the eviction process takes a lot longer than a mere two months.
The Section is the first step to a landlord gaining possession but with ‘no reason’ given, therefore the abolition of this notice will mean that the landlord will be required to state ‘grounds’ (reasons) should they wish to regain possession. This would require Section 8 of the Housing Act 1988 (1996) to be amended.
A Look into the Future of the Private Rented Sector - The Publication of theWhite Paper & Renters Reform
After a lot of back and forth, the Government finally published the fairer private rented sector white paper on the 16th of June 2022 which outlines what will ensure millions of families benefit from living in decent, well looked-after homes as part of the biggest shake up of the private rented sector in 30 years.
A new blueprint for renters reform will end the injustice of properties which are unfit for Human Habitation and help protect renters from rising cost of living. The changes are pivotal and significant, and include:-
The removal of the section 21 notice (Form 6A. So-called ‘no fault’ section 21 evictions (which for clarity, NOT EVICTIONS) that allow landlords to terminate tenancies without giving any reason – will no longer be possible.
Extending the Decent Homes Standard within the Private Rented Sector
The end to arbitrary rent review clauses, which will give tenants stronger powers to challenge poor practice, unjustified rent increases and enable tenants to be repaid rent for non-decent homes (RROs)
A blanket ban on refusing to rent to families with children or tenants in receipt of benefits
Making it easier for tenants to share their homes with much-loved pets
The white paper marks a generational shift that will redress the balance between landlords and 4.4 million private rented tenants.