Local estate agent urges landlords to stay compliant to avoid fines up to £40,000

Peter Lee, Director at Redbrik Estate Agents, explains how the changes could affect private lets and the fines landlords could face if they do not follow the rules.

“Once the Renter’s Rights Bill takes effect, you will need an agent you can trust to ensure you are compliant with the new rules. Effectively, once this bill has been passed, attempting to privately rent your home would be similar to selling your home without a solicitor.

“The changes mean that new agreements will need to be drawn up for every current tenancy as fixed-term assured tenancies will no longer be allowed. Instead, new agreements will now be periodic, meaning that tenants will be able to stay in the home until they decide to end the tenancy by giving two months’ notice.

“There will be certain circumstances in which a landlord can give notice for their tenants to vacate the property, however, the rules around this and what you can do with the property following the end of the tenancy are strict.

“In Wales and Scotland, where similar legislation is currently in effect, we have seen audits taking place up to four times per month to ensure that landlords are compiling with the rules.

“Throughout England, once the Bill comes into effect, the local authorities will have greater powers to carry out audits as seen in Wales and Scotland and issue fines to landlords who are not complying with the new rules.

“For minor offences, landlords could face penalties of up to £7,000, with penalties for severe and repeat non-compliance sitting at a maximum of £40,000.

“This is why it will be key to work side-by-side with an agent who fully understands all the terms of the new legislation to help you stay on the correct side of the law, while still achieving the best possible price for your property.”