Brokenshire Heralds New Law Protecting Tenants From Unfair Letting Fees

Tenants will be protected from unfair letting fees and will see their tenancy deposits capped at 5 weeks’ rent thanks to a new law.  Unexpected letting fees and high deposits can make properties harder for people to afford and are often not clearly explained upfront – leaving many prospective tenants unaware of the true costs of renting a property. The Tenant Fees Bill, which has received Royal Assent, puts an end to costly fees imposed by landlords or agents – with the ban on fees to come into effect from 1 June. It is expected to save tenants across England at least £240 million a year, or up to £70 per household. Read more on the MHCLG website.

https://www.gov.uk/government/news/james-brokenshire-heralds-new-law-protecting-tenants-from-unfair-letting-fees

Tenant Fees Bill Passes Final Commons Hurdle

The  Tenant Fees Bill is headed for Royal Assent having passed its final hurdle in the House of Commons. And Royal assent is expected within weeks to have the Bill passed into law and implanted by June. The Bill went back to the Commons after its passage through the Lords last week. There is currently no cap on the level of fees that letting agents can charge in England, although since 27 May 2015 agents have been required to display a tariff of fees. Read more on 24housing.

https://www.24housing.co.uk/news/tenant-fees-bill-passes-final-commons-hurdle/

Renters Ready To ‘Stand Together’ Against Exploitative Landlords

London Labour housing leads have demanded government ends to letting fees and “extortionate” deposits for private renters ahead of the Tenant Fees Bill. Their letter is backed by a warning of renters across the capital ready to ‘stand together’ against exploitative landlords and letting agents. The leads from 19 London Boroughs echo Sadiq Khan’s calls calls for the Government to strengthen the Bill and protect the capital’s 2.4m private renters. Read more on 24housing.

https://www.24housing.co.uk/news/london-renters-ready-to-stand-together-against-exploitative-landlords/

Mayor Brands Tenant Fees Bill 'A Missed Opportunity'

The Mayor of London, Sadiq Khan, has declared that the Government’s proposed Tenant Fees Bill is a "missed opportunity" to protect the 2.4 million private renters in the capital, and criticised Ministers for breaking their promises to publish key plans for social housing and rough sleeping before the summer. Extortionate fees and deposits mean London’s renters need to find nearly £3,700 each time they move home, compared with the nationwide average of £2,000*. In a joint letter to the Prime Minister, Sadiq, along with Crisis, Generation Rent and Citizens UK set out how a reform of private renting is desperately overdue. Read more on the Mayor of London’s website.

https://www.london.gov.uk/press-releases/mayoral/along-with-organisations-representing-renters

Changes To Draft Tenant Fees Bill Make PRS ‘More Affordable’

Banning fees imposed on tenants by landlords and lettings agents in the private rented sector has the potential to save renters hundreds of pounds – but the proposed legislation could be improved to make the market both fairer and more transparent, the HCLG Committee has concluded. A report on the Government’s draft Tenant Fees Bill welcomes the aims of the proposals but recommends the maximum amount that can be charged as a security deposit be lowered from the proposed six weeks’ worth of rent and calls for more funding for enforcement. But Residential Landlords Association (RLA) believes lowering the cap makes it easier for the minority of tenants who cheat landlords out of the rent they owe. Read more on 24housing.

http://www.24housing.co.uk/news/changes-to-draft-tenant-fees-bill-make-prs-more-affordable/

Letting Fee Bans To Be Scrutinised

The draft Tenant Fees Bill and aims to deliver ‘a fairer, more competitive, and more affordable lettings market where tenants have greater clarity and control over what they will pay and where the landlord is the primary customer of the letting agent’.  The bill would prohibit all payments to lettings agents and landlords (aside from rent, security deposits, holding deposits and tenant default fees), cap deposits and introduce new civil and criminal offences for breaching the ban. The CLG Committee plans to hold a series of oral evidence sessions in the New Year with experts, tenant, letting agent and landlord associations, and trading standards authorities.  Read more on 24housing.