Council issues its first fine against landlord for illegal eviction notice following Renters' Rights Act

The Renters’ Rights Act 2025 introduced significant changes to the private rented sector, aimed at giving tenants greater security in their homes, improving standards, and making it easier to challenge unfair treatment.

One key change was to remove Section 21 'no-fault' eviction notices, meaning landlords must now have a legally valid reason to regain possession of a property, known as a 'possession ground'.

Additionally, the Renters’ Rights Act extends the existing enforcement powers available to local housing authorities under the Housing Act 2004 - including those applicable to HMOs and licensable residential premises.

In Gateshead, the landlord in question was fined £3,600 for serving a Section 21 notice after 1 May 2026, when these notices could no longer be used.

By paying within 28 days, the landlord qualified for a 15% discount and paid £3,060 to the council.

The final notice was issued on 24 August 2026, with payment received from the landlord on 8 September.

The council noted: “Our Private Sector Housing team contacted the landlord to explain the changes in the law and advise that the notice was not valid. The landlord was also provided with information about the correct legal routes available should they still wish to seek possession of the property.

“Our aim is to help landlords understand their responsibilities and comply with the law. However, where breaches of housing legislation are identified, we will take appropriate enforcement action.”

The penalty was the first to be issued by the council under the new legislation. However, it noted that other cases are “being considered”.

Cllr Gavin Brierley, Cabinet Member for Housing at Gateshead Council, said: "The Renters' Rights Act brings important changes to protect tenants, give them greater security in their homes and make sure landlords understand their legal responsibilities.

"Landlords need to know the rules and follow the correct process if they want to take back their property. We will help landlords understand what is expected of them, but we will take action when the law is broken.

"Everyone deserves to feel safe and secure in their home, and we are committed to protecting tenants' rights across Gateshead."

Lottie Winson