The Renters’ Rights Bill is the most significant reform the private rented sector (PRS) has seen since the Housing Act 1988. Introduced to Parliament on 11 September 2024 the Bill has wide-ranging changes for landlords, tenants, and letting agents alike. The 3rd reading of the Bill was completed on January 14, 2025, marking the end of the Commons stage. The Bill then passed its first reading in the House of Lords on January 15, with the 2nd reading scheduled for February 4. It will then need to pass the Committee, Report, and 3rd reading stages in the Lords, before the Government considers amendments and it reaches Royal Assent.
The team at Pilgrims want to guide all our clients through the upcoming proposed changes and reassure you that gaining possession of your property when the need arises will still be an option. We have detailed the mandatory and discretionary grounds including new grounds to support the abolition of Section 21 Form 6A.
Abolition of Section 21 and Proposed Changes Landlords will now rely on expanded Section 8 grounds to evict tenants. Both mandatory and discretionary grounds have been updated as follows to support Landlords who need to gain possession of their property, and as you will see these grounds reflect the majority of reasons landlords would normally serve a tenant notice:
MANDATORY GROUNDS
Ground 1 (Amended) - If the landlord or a family member wishes to move into the property, this can
only be done after the tenancy has exceeded 12 months
Ground 1A (New) - If the landlord intends to sell the property, this can only be used after the tenancy
has exceeded 12 months
Ground 2 - If the mortgage provider wishes to repossess the property
Ground 2ZA - 2ZD (New) – If the leasehold has ended and the landlord does not own the freehold
Ground 4 - If a property was let to a student by an educational institute for a fixed term of 12 months
Ground 4A (New) - For student landlords not affiliated with an educational institution who need the
property for new student tenants before the academic year starts
Ground 5 - If a religious organisation owns the property and needs a minister of religion to live in it
Ground 6 - If a landlord wishes to demolish or redevelop the rented property to the extent that the
tenant cannot live there
Ground 6A (New) - If the landlord needs possession to comply with enforcement action
Ground 7 - If a tenant has passed away, but this cannot be used if a surviving spouse is living in the property
Ground 7A - If the tenant has committed "serious antisocial behaviour"
Ground 7B - If the tenant does not have a Right to Rent in the property
Ground 8 (Amended) - If the tenant is at least three months in arrears (or 13 weeks if rent is paid weekly or fortnightly)
DISCRETIONARY GROUNDS
Ground 9 - If a landlord has provided accommodation that is like-for-like for the current tenancy
Ground 14 - If the tenant is a nuisance or annoyance to neighbours, or using the property
for illegal or immoral activity
Ground 10 - If the tenant is in rent arrears but is less than ground 8
Ground 14A (New) – Social landlords can evict a domestic violence perpetrator if the victim has fled
Ground 11 - If the tenant is constantly late in paying rent, but is not in rent arrears
Ground 14ZA (New) - If the tenant or adult at the property has been convicted of an indictable offence during a UK riot
Ground 12 - If the tenant has breached the tenancy agreement, excluding rent payments
Ground 15 - If the tenant caused damage to furniture provided by the landlord
Ground 13 - If the tenant has deteriorated or neglected the landlord's property
Ground 17 - If the tenant was given the tenancy with a "false statement"
Ground 18 (New) - The tenancy is for supported accommodation, and the tenant refuses to engage in support
Single system of periodic tenancies
Fixed-term assured shorthold tenancies (ASTs) will be replaced by periodic tenancies under the Renters’ Rights Bill. Tenancies will operate on a rolling, month-to-month basis and there will be no minimum term for new or existing tenancies. This means tenants have the option to leave at any point, however, Tenants will need to provide 2 months' notice to end the tenancy.
Rent increases via Section 13
The Renters' Rights Bill introduces significant changes to standardise rent increase procedures. After the abolition of ASTs, Section 13 will become the only mechanism for increasing rent.
Landlords must provide tenants with 2 months’ notice of any proposed rent increase, compared to the current one-month requirement. Under the new system, landlords can continue to raise rents once per year and we will carry out an annual rent and compliance review to ensure your rent continues to increase with the current market as well as ensuring your property is up to date on compliance.