Renters’ Rights Bill will cause chaos without court reforms warns industry body

An industry body warns the Renters’ Rights Bill could undermine the justice system and destabilise the private rented sector.

Propertymark says that while letting agents are not opposed to reform, it must be carried out in a way that protects both landlords and tenants.

The warning comes after members of the House of Lords raised concerns that the court system could be left in limbo, with landlords potentially facing lengthy delays.

Peers questioned the government’s court digitisation process, arguing that it could take up to five years before it is fully operational.

Undermined by judicial bottlenecks and inconsistent outcomes

The Renters’ Rights Bill will abolish Section 21 ‘no-fault’ evictions and shift all possession proceedings to expanded Section 8 grounds.

Propertymark is warning that unless the government provides clear timelines and properly funds the court system, it could cause chaos for landlords and tenants.

Timothy Douglas, head of policy and campaigns at Propertymark, said: “Members of the Lords warned that without court reform, the intended benefits of the Renters’ Rights Bill could be undermined by judicial bottlenecks and inconsistent outcomes, which could destabilise the private rented sector and harm both landlords and tenants.”

Mr Douglas also pointed out that members of the House of Lords raised concerns about the government’s decision to drop the previous Conservative commitment to improve the courts before scrapping Section 21.

Many Lord members warn that this reversal could damage landlord confidence and push property owners away from the market.

Reforms must protect landlords and tenants

Mr Douglas emphasises that the reforms must protect landlords and tenants.

He said: “Propertymark continues to engage with all sides of the political debate to ensure the Renters’ Rights Bill is evidence-based and workable.

“To this end, genuine concerns remain over the lack of scrutiny of the Labour government’s proposed reforms and, to date, an unwillingness to ensure they are future-proofed. Court reform and capacity to deal with Section 8 cases after the removal of Section 21 are both a key part of this.

“Letting agents are not against reform, but if such a major overhaul of the private rented sector in England is to bring about positive change, it must be done in a way that protects landlords and tenants and retains flexibility and choice, which has been fundamental to the success of the private rented sector over the years.”