The National Residential Landlords Association (NRLA) has predicted “confusion and chaos” unless the Government gives landlords sufficient time to adjust to new reforms.
It had pledged to abolish Section 21 repossessions and make other changes to the rental market this summer, but with the Renters’ Rights Bill not scheduled to begin detailed scrutiny in the House of Lords until after Easter, this timetable will now be missed, according to the landlord group.
While the Government has said it will give the sector as much notice as possible about when the Bill will be implemented, no further detail has been provided.
However, almost five million households will be affected by the decision to end fixed term tenancies, illustrating the scale of the challenge facing the PRS.
A minimum of six months from the point at which regulations are published will be needed to ensure that landlords, tenants, and the businesses which support them are adequately prepared for these reforms, the NRLA insisted.
It hopes the Government will learn from the experience of implementing similar reforms elsewhere across the country, which uncovered significant difficulties.
The NRLA believes that before Section 21 is replaced, a raft of changes is needed such as equipping landlords, agents and legal professionals with guidance and training, adjusting policies and rates across insurance and mortgage providers, and adapting court procedures to prepare for an increase of in-person hearings.
Ben Beadle, of the NRLA, thinks the lack of clarity is causing needless uncertainty for both landlords and tenants.
“It’s damaging the rental market at a time when there is already a chronic shortage of homes to rent,” he said.
“Given the extent of the changes, at least six months will be needed to ensure a smooth transition to the new tenancy system. Anything less will be a recipe for confusion and chaos.”
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