Rent increase according to inflation?

Rent increase according to inflation?

9:10 AM, 15th November 2023, About 3 weeks ago 40

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Hi, I have asked my tenant for a rent increase from £800 to £1100. But she is blaming now that there is a clause in the tenancy agreement which says that the rent will be reviewed annually and be increased according to inflation.

So this should only be £855 as the inflation rate is now 6.8% Is there anything I can do, please?



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Seething Landlord

9:39 AM, 15th November 2023, About 3 weeks ago

You are bound by the terms of the tenancy agreement. Shelter claim that landlords use S21 in this situation, landlords say they don't.


9:55 AM, 15th November 2023, About 3 weeks ago

That is a huge jump based on what? The fact that you can without any thought or consideration to your tenant. Is this a good tenant who pays rent on time and looks after the property? Rethink your strategy and check the rental agreement next time you consider a massive rent hike!


10:22 AM, 15th November 2023, About 3 weeks ago

Sending your tenant a 37.5% rent increase demand before you had checked the contract is very poor landlord practice. Good practice for any landlord is to make sure you review and reference the contract to ensure compliance with it at all times. You have just put a dent into landlord reputation with this action.

Chris Rattew

10:39 AM, 15th November 2023, About 3 weeks ago

The rule is simple. You should stick to what you agree. We do not have an annual review clause and have a clause relating to inflation from the 1 September when or before the tenancy begins, and the clause covers the CPI and wage inflation. Make sure that agreements clearly state what you require and that it is clear to all parties.

Jo Westlake

10:41 AM, 15th November 2023, About 3 weeks ago

Why do you think a 37.5% increase is a good idea for an existing tenant?

Is the property significantly below market rent? If so, why?

Is it several years since you last increased the rent? If so, that was your choice. For a long time a lot of us didn't increase rent because we didn't want to risk losing a good tenant. It does mean a lot of good tenants are paying way below market rent right now and will continue to do so even if we increase rent in line with inflation.

Has your monthly mortgage payment just increased massively as your fix ended? If so, welcome to the club. It's painful. However, we have known rates were increasing for well over a year, so this should be the second rent increase to help accommodate the increased mortgage payment.

If the tenancy agreement says rent increases will be linked to inflation does it say which inflation index?

What will your position be if you can't increase the rent by more than inflation? Will you need to sell? If so you will need to evict the tenant, especially if they are paying below market rent . At the very least have a proper conversation with the tenant. Insisting you honour the terms of the tenancy agreement regarding the rent increase will be a hollow victory if it forces you to sell and means they have to find a new home (probably at a higher rent) and have to pay moving costs.

Steve O'Dell

11:09 AM, 15th November 2023, About 3 weeks ago

Reply to the comment left by RoseD at 15/11/2023 - 09:55
Maybe this is based on the interest rate increase the owner is having to pay - a jump from 2-6% can easily add much more than that to a mortgage payment. Couple that with increased taxation, increased costs of compliance and insurance and a raise of £300 may still leave the owner worse off. However if the contract stipulates a ceiling to increases then that is what informs the decision. It is clearly a poorly written contract.

Graham Bowcock

11:24 AM, 15th November 2023, About 3 weeks ago

To reiterate what others have said, you have to honour the agreement that you entered into. However, are you sure the reference is to inflation and not RPI? Generally the increase in these cases is done using index at the starting date and at the review date; this removes monthly fluctuations.

Your costs are not relevant to how the rent is assessed.

Ian Cognito

11:25 AM, 15th November 2023, About 3 weeks ago

I'm surprised that the site moderators posted your question, which Iooked to me like spam.

If you are genuine, you really should not expect landlords on 118 to waste their time trying to help you, when you can't be bothered to help yourself and show no empathy for your tenant.


Monty Bodkin

11:38 AM, 15th November 2023, About 3 weeks ago

"Is there anything I can do, please?"

You could try making your spam questions more plausible.



11:59 AM, 15th November 2023, About 3 weeks ago

Reply to the comment left by Steve O'Dell at 15/11/2023 - 11:09Maybe Steve but the thread (if it's genuine) is not stating that is it? A professional landlord would at least check the tenancy agreement and do the proper thing and talk through the options with the tenant. The tenant a step in front of landlord here which I would be really embarrassed by, having the sense to check her agreement. No excuse for bad management!

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