Best to let S21 go to hearing and fail, or rectify the issues and restart?

You are correct in noting that naming both the tenant and the housing association on the AST may present complications. The crucial issue here is whether the tenancy is deemed to be a joint tenancy, or if the housing association acted in a supporting capacity (e.g. as a managing agent or guarantor). If both were named as tenants, it may be interpreted as a joint tenancy, which could affect how possession proceedings are handled.

Regarding the Section 21 Notice:
Since you’ve already served a Section 21 notice which has expired, but the tenant remains in occupation, your next logical step would typically be to apply to the court for a possession order—provided the notice was validly served and all preconditions (such as deposit protection, provision of EPC, Gas Safety Certificate, How to Rent Guide etc.) were met.

However, there are key considerations:

Vulnerability and Disability:
Given the tenant’s significant special needs, any court would expect you to comply strictly with the Equality Act 2010. This means assessing whether eviction could constitute discrimination or whether reasonable adjustments are required.

Public Law Duties:
Since the tenant is being supported by a specialist housing association, the local authority may have public law obligations to rehouse. In practice, this often means the tenant may remain until alternative accommodation is offered—regardless of court proceedings.

New Legislation Imminent:
As you mention, the upcoming reforms under the Renters (Reform) Bill may restrict or abolish Section 21 altogether. Issuing a new AST now will bring the tenancy under new regulations, which may limit your ability to regain possession later under no-fault grounds.

Recommendations:
Do not issue a new AST.
Issuing a new tenancy agreement now could weaken your position by resetting the clock and subjecting the agreement to future legislative changes. The current tenancy is likely periodic now, which is more favourable if you wish to proceed with possession.

Do not “withdraw” the S21.
Instead, if the notice was valid and expired without action, you retain the right to apply to court. The notice does not expire in the legal sense—it becomes “stale” only after 6 months from service, so check the dates carefully.

Prepare for possession proceedings
If you do decide to proceed, seek legal advice on initiating a Section 21 possession claim, ensuring all required documents were served correctly and that you’ve complied with all relevant obligations.

Alternatively, consider “open dialogue”
Since your ultimate aim is to sell, and the tenant is willing to move when social housing is offered, you may consider liaising directly with the housing association or local authority to accelerate their rehousing process—possibly with an agreed move-out timeframe, avoiding litigation.

In short, you should not issue a new AST. Instead, either pursue possession based on the current Section 21 (if still valid) or engage constructively with the housing association/local authority to facilitate a planned move-out. You may also explore selling the property with the tenant in situ to a landlord-investor, if time is critical.

Reply to the comment left by Paul McCarthy at 26/06/2025 - 09:57
"issuing a new AST now will bring the tenancy under new regulations, which may limit your ability to regain possession later under no-fault grounds." Why?

The Bill only becomes law once enacted therefore issuing a new 6 months AST now wont nor even once the Bill has received Royal Assent.

The Bill is unlikely to be enacted until autumn 2025 at the very earliest and more likely Jan/Feb 2026 (if even then) or summer 2026.

Reply to the comment left by Paul McCarthy at 26/06/2025 - 09:57
Edit - AST issued 10 years ago, not 20! Thanks for your detailed reply. The housing association had sourced an almost identical property for the tenant, but the tenant has declined it and wants to wait for social housing - which is, of course, in very short supply. The tenant is on the list with the local council, but there is nothing available. I guess I could try contacting the council myself. I’m in the position of wanting to sell, but I’m prepared to wait a few months.

The Council are not your friend and will not volunteer precious housing until they absolutely have to. Likewise, there is a limit to what the housing association can and will do.
Before you do anything else you are going to need proper legal opinion on the joint names issue from a specialist landlord snd tenant solicitor, (not a regular high street johny). You should be able to get some indication of whether it's possible from a free initial enquiry. If its legally complex, I wouldnt suggest you proceed on your own.

Reply to the comment left by DPT at 26/06/2025 - 14:43
Councils have few properties to offer, but some council officers are decent. Trying to do their best. I’ve heard of Landlord Action, but are there other eviction specialists too?

I agree the council is no ones friend. They'll provide misleading or outright incorrect details to both tenant and landlord, either through incompetence or just to try and reduce the finanical burden on the council.

Whilst I don't want to tar them with the same brush, you should be aware of the games many of them play.

Almost no council informs the tenant of possession with costs, and that waiting out an s21 for council help means they'll owe £800-1500 on average to cover the landlords legal costs. As well as the fact, there is often no house available for several years, and many end up returning to the private rental sector before they reach the top of the waiting list.

If you follow though with the eviction, make note to the judge that suitable alternative accomodation was offered by their supporting agency, but they refused it, intend preferring to wait on the council. As such you don't have a choice but to follow though with s21 in order to sell your property.

Despite their needs I imagine it would be granted, although they might extend the usual 14 day notice to leave to 2 months to give time to source alternative accomodation. After that, it's baliffs and the council will have to provide something, which may not be suitable, but they cannot decline it (if they do, most councils then withdraw all support), they need to move in and ask for a review of unsuitable temporary accommodation.

Make sure your s21 is valid, run it though this tool - https://england.shelter.org.uk/professional_resources/legal/possession_and_eviction/section_21_validity_checker

Reply to the comment left by Annie Landlord at 26/06/2025 - 16:49
Decent or not, they have a duty to follow Council policy so won't help you. Search online for firms of landlord and tenant solicitors and put in a call.

Reply to the comment left by Jonathan Willis at 27/06/2025 - 09:45
Thanks Jonathan