0:02 AM, 10th March 2025, About a month ago 5
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A firm warns without investment in the civil courts and property tribunals, landlords could be left in limbo in trying to regain possession of their properties.
Proptech firm Reapit says, despite the government’s funding boost for criminal courts, more funding is needed for civil courts to tackle the growing backlog.
The Ministry of Justice have announced a record allocation of 110,000 Crown Court sitting days for the next financial year, and a £28.5 million increase in court maintenance funding.
However, no equivalent commitment has been made to civil courts and property tribunals, despite the additional strain they are expected to face due to the Renters’ Rights Bill.
Under the Renters’ Rights Bill, the abolition of Section 21 ‘no-fault’ evictions, will force landlords to use Section 8 notices to regain possession of their properties, which will require a court ruling unless the tenant leaves voluntarily.
The legislation also proposes scrapping fixed-term tenancies and requiring all rent increases to be served via a Section 13 notice. These measures are likely to increase demand for court and tribunal time.
However, a report by Reapit reveals the government admits it doesn’t have any data on rent increase cases currently handled by tribunals and their outcome adjudicated by the First-tier Tribunal (Property Chamber).
Reapit warns without investment England’s tribunal system could face up to 1.3 million market rent cases annually if all tenants subject to rent increases choose to challenge them.
Dr Neil Cobbold, commercial director at Reapit, said: “It’s encouraging to see investment in criminal courts, but the civil courts and tribunals need more capacity too. Landlords, tenants, and agents need access to swift, fair resolutions, especially with the increased demand we expect from the Renters’ Rights Bill.
“Without increased funding and capacity, we risk long delays, uncertainty, and a backlog that will impact tenants, landlords and agents.”
Mr Cobbold adds that despite the government’s own impact assessment revealing the longstanding issue with court delays, particularly for landlords seeking possession orders, no impact assessment has been issued on how the courts would deal with the extra strain.
He said: “The government has yet to publish a Justice Impact Test or New Burdens Assessment for the Renters’ Rights Bill, two crucial reports that outline how much additional strain the courts will face and the funding required to manage it.
“Without these assessments, the extra costs may be left out of the government’s upcoming Spending Review, potentially delaying essential resourcing for councils and tribunals.”
Mr Cobbold adds: “While we wait for the government to act, agents can take proactive steps. The best way to avoid court is through robust tenant checks, rent tracking, and transparent communication.
“With the right processes in place, we can help ensure a fair, functioning rental market, without relying on an already overstretched justice system.”
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Freda Blogs
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Sign Up12:07 PM, 10th March 2025, About a month ago
“With the right processes in place, we can help ensure a fair, functioning rental market, without relying on an already overstretched justice system.”
Indeed. However, currently the market is neither fair nor functioning well, and if the proposed bill proceeds as-is (ignoring some sensible amendments from the Lords), it will only get worse.
At it’s most basic it seems that the objective of this rental reform is to deprive one person of their asset in favour of a person who signs up for temporary use of it, yet can stay near-indefinitely, whilst the asset-owner’s rights are significantly diminished.
Reluctant Landlord
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Sign Up13:40 PM, 10th March 2025, About a month ago
nothing will happen because its in the governments benefit to have cases backlogged = keeps tenants in the private accommodation they are already in for as long as possible.
Nothing to do with fairness!
Northernpleb
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Sign Up17:51 PM, 10th March 2025, About a month ago
No amount of Money is too much for the Government to spend on Legal Aid to keep Rent Dodging , House Bashing Tenants in the property.
The Government has already put loads of obstacle's , including a Rubbish long winded expensive Court System.
How difficult is it Eight Weeks in Arrears is simply to Establish. Why is it so complicated.
It should be simple landlord sends Court proof of Rent arrears . Tenant then sends Proof paid or not. Within 14 Days.
Cider Drinker
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Sign Up18:44 PM, 10th March 2025, About a month ago
The government should focus their energy in trying to retain current landlords and encourage new ones.
This would directly help tenants.
Unfair tax and over-regulation do the exact opposite.
They know what they are doing.
Reluctant Landlord
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Sign Up20:35 PM, 10th March 2025, About a month ago
Reply to the comment left by Cider Drinker at 10/03/2025 - 18:44
it amazes me - such is the hated for the PRS they are willing for a god almighty chasm to open up between demand for yet total lack of supply of accommodation in this country before there is ANYTHING that can even provide a tiny percentage of what is needed to attempt to bridge the gap anytime soon (even before 2029!)
There is no way the seemingly beloved BTR 'solution' is the actual solution. Many developments are on hold/being left purposely in planning limbo by developers due to costs and no buyers (plus show me a family that wants to live in a glass box flat in the middle of a city?) and the 1.5M build plans are pure fantasy (not forgetting there is no % given for actual social rent affordable properties)
The Home Office are trying to shut hotels as fast as possible to be seen to get their own numbers down but all this does is push the same numbers onto council lists...where the only option is temp and expensive hotel accommodation...
Perhaps I should quit the PRS pick a random colour scheme (works for EasyJet and Premier Inn) and set up SocialHotel.com?