Renters’ Rights Bill to ban Section 21 evictions for new and existing tenancies

Section 21 ‘no fault’ evictions are to be banned for new and existing tenancies under the Renters’ Rights Bill, which has been introduced to Parliament today (11 September).

The Ministry of Housing, Communities and Local Government (MHCLG) claimed the proposed legislation would “level the playing field” between tenants and landlords.

It said that banning Section 21 evictions would “reassure tenants they can challenge bad practice without the fear of retaliatory eviction, as landlords will need to provide a valid cause to end a tenancy early.

“Going further than ever before, the Bill will abolish Section 21 evictions for both new and existing tenancies at the same time, giving all private renters immediate security and assurance.”

The Bill will also extend Awaab’s Law into the private rented sector and end blanket bans for those on benefits or with children.

The Decent Homes Standard will be applied to the private rented sector for the first time. Landlords who fail to address serious hazards could be fined up to £7,000 by councils and might face prosecution for non-compliance, MHCLG said.

There will also be reforms covering the setting of rent including a legal requirement for landlords and letting agents to publish an asking rent for their property. They will also be banned from asking for, encouraging, or accepting any bids above this price.

A ban on in-tenancy rent increases will also be written in to contracts to prevent landlords implementing too high rents mid-tenancy. Landlords will only be allowed to raise the rent once a year, and to the market rate, according to the MHCLG.  

A new Private Rented Sector Database will meanwhile be created “to help landlords understand their obligations for compliance and provide tenants the information they need to make informed choices for new tenancies”.

This database will also enable councils to focus enforcement where it is needed most, the Ministry said.

Deputy Prime Minister, Angela Rayner said:  “Renters have been let down for too long and too many are stuck in disgraceful conditions, powerless to act because of the threat of a retaliatory eviction hanging over them.  

“Most landlords act in a responsible way but a small number of unscrupulous ones are tarnishing the reputation of the whole sector by making the most of the housing crisis and forcing tenants into bidding wars.   

“There can be no more dither and delay. We must overhaul renting and rebalance the relationship between tenant and landlord. This Bill will do just that and tenants can be reassured this Government will protect them.”

Responding to the introduction of the Bill, Cllr Adam Hug, Housing spokesperson for the Local Government Association, said: “With the Renter’s Reform Bill introduced today, we’re pleased to see the inclusion of a ban on Section 21 ‘no-fault’ evictions which are the primary cause of people presenting to councils as homeless. This is something the LGA has long-called for.

“We look forward to studying the content of the legislation more closely.

“We will continue to work with government to ensure that councils have the right powers, skills, capacity and resources to undertake effective enforcement activity.” 

Polly Neate, Chief Executive of Shelter, said: “The government is right to pull the plug on no fault evictions. Section 21 has haunted England’s renters for years now and 11 million of them will breathe a sigh of relief when these unjust evictions are finally consigned to the history books.   

“The Renters’ Rights Bill must be a fresh start to fix private renting. With notice periods so short and more than 60,000 renters forced out of their homes by rent hikes in the past year alone, renters will expect bold action to deliver the security they’ve long been promised – no ifs, no buts."

Neate added: “If the government is serious about making renting genuinely safer, secure, and more affordable, the Bill must guarantee renters greater protection. Renters need to know they won’t be booted out of their homes by eye-watering rent hikes and the discriminatory practices that push so many into homelessness must be stamped out.” 

A ban on Section 21 ‘no fault’ evictions had been included in the Renters (Reform) Bill introduced by the previous government, but the legislation did not become law before Parliament was prorogued for the general election.