Theresa May announces she will ban section 21

by Property 118

7:41 AM, 15th April 2019
About 6 days ago

Theresa May announces she will ban section 21

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Theresa May announces she will ban section 21

Prime Minister, Theresa May, has announced she plans to ban the use of Section 21 or what is termed as so-called ‘no-fault evictions’ in England.

The PM said: “Everyone in the private sector has the right to feel secure in their home, settled in their community and able to plan for the future with confidence.”

“But millions of responsible tenants could still be uprooted by their landlord with little notice, and often little justification.

“This is wrong and today we’re acting by preventing these unfair evictions. This important step will not only protect tenants from unethical behaviour, but also give them the long-term certainty and the peace of mind they deserve.

“Landlords will still be able to end tenancies when they have legitimate reasons to do so, but they will no longer be able to unexpectedly evict families with only eight weeks’ notice.”

Communities secretary James Brokenshire said:

“Government was making the biggest change to the private rental sector in a generation. By abolishing these kind of evictions, every single person living in the private rented sector will be empowered to make the right housing choice for themselves not have it made for them. Evidence showed that so-called Section 21 evictions were one of the biggest causes of family homelessness.

“And this will be balanced by ensuring responsible landlords can get their property back where they have proper reason to do so.”

A Ministry of Housing spokesman said: “Court processes will also be expedited so landlords are able to swiftly and smoothly regain their property in the rare event of tenants falling into rent arrears or damaging the property meaning landlords have the security of knowing disputes will be resolved quickly.”

Shadow Housing Secretary John Healey cautiously welcomed the Tory proposals, but said they:  “Won’t work if landlords can still force tenants out by hiking the rent. For nine years, the Tories have failed to tackle problems facing private renters.

“Tenants need new rights and protections across the board to end costly rent increases and substandard homes as well as to stop unfair evictions.”

NLA Chief Executive, Richard Lambert, said: “Landlords currently have little choice but to use Section 21. They have no confidence in the ability or the capacity of the courts to deal with possession claims quickly and surely, regardless of the strength of the landlord’s case.

“England’s model of tenancy was always intended to operate in a sector where Section 21 exists. This change makes the fixed term meaningless, and so creates a new system of indefinite tenancies by the back door.

“The onus is on the government to get this right. It’s entirely dependent on the government’s ability to re-balance the system through Section 8 and court process so that it works for landlords and tenants alike. The government should look to Scotland, where they reformed the court system before thinking about changing how tenancies work. If the Government introduces yet another piece of badly thought-out legislation, we guarantee there will be chaos.”



Comments

david porter

8:08 AM, 15th April 2019
About 6 days ago

She has no security of tenure where she lives.

Terry Fitzpatrick

8:08 AM, 15th April 2019
About 6 days ago

As with Sadiq Khan's Ultra Low Emission Zone tax this is a knew jerk reaction to pressure from the left and tenants rights groups. It's all a part of the feel good factor. There are a number of issues that I would like to raise for discussion.

The first is that unless there is a new clause to the act or S8 is greatly strengthened then we could end up with a situation where a rented property becomes unsaleable. If the tenants comply with the law in all respects they are, as the situation has been explained today, unmoveable. We are then, by default, going back to a pre 1977 Rent Act Tenancy situation. This will mean, or will it, that a new owner or the lender in an appropriate situation of default on mortgage payment or similar, cannot regain the property and realise their security for the loan. What do people think?

Neil Patterson

8:35 AM, 15th April 2019
About 6 days ago

Reply to the comment left by david porter at 15/04/2019 - 08:08
Very good David

Andrew Hammond

8:42 AM, 15th April 2019
About 6 days ago

I think there is merit in this and I would like to see:
'Fault' evictions - non payment of rent or unsociable behaviour should be streamlined to take effect within, say 2 -4 weeks maximum but non-fault evictions (where the landlord might wish to 'take the property back - for whatever reason) can take place after a notice period of say, 6 months: which should be sufficient time for the tenants to find alternative accommodation.

Andrew Hammond

8:42 AM, 15th April 2019
About 6 days ago

Reply to the comment left by david porter at 15/04/2019 - 08:08
lol 🙂

david porter

8:43 AM, 15th April 2019
About 6 days ago

There is merit in this but it should not become a lawyers benefit.

Paul Shears

8:58 AM, 15th April 2019
About 6 days ago

Food for thought:
Some recent attacks by the British people on themselves.

1. The labour government want to give all tenants indefinite security of tenure.

2. Theresa May has announced she will ban section 21 notices, which take a minimum of five months to implement, (So-called “No fault evictions”) If the tenant gets the support of the local council the situation can drag on for a year. If the landlord makes a single technical mistake and does not follow the required process precisely, the whole thing has no real time limit. During this time frame, the tenant can cause thousands of pounds of damage to the property.
So, at best, now, if a landlord needs to sell up, he can't until the contract ends.
But the Gov't also wants to increase minimal rental periods to several years.
Obviously this takes no account of the landlord’s needs to adapt to the market place in order to survive or avoid total financial melt-down, let alone optimise the business.

3. We have a local council (in an area that is often regarded as having the highest quality of life in Britain), that is right on the very cusp of forcing people out of their homes, especially tenants. New, approved and very severe parking restrictions are being implemented. Visitors have, in reality, been banned by the local council for anyone with no private parking space or a single parking space. Many of those who wish to stay will have to seek permission from the local council via a licence at £70/Yr. There will not be enough licences for all existing home occupiers. Yes you have that right! The local government are making it literally impossible to own a car and live in much of the area.

Alistair Cooper

9:09 AM, 15th April 2019
About 6 days ago

The real risk is how lenders will react. Does this potentially mean the end of Buy to Let lending? the very essence of which is based upon the Banks ability to regain possession of the property quickly in default by the provisions in the 1925 Kaw of Property Act and a relatively simple Sec 21 process. (Although we know the current system is anything but simple lenders still take comfort from it)
There is opportunity here to create a more streamlined Court system but I fear and doubt that it will be taken up. The County Courts are creaking with Case overload now, how will they cope with a 3x/4x increase in cases requiring a hearing ?

Rod

9:11 AM, 15th April 2019
About 6 days ago

James Brokenshire says, "section 21 is the biggest cause of homelessness" errrrr I don't think so. I've said this many times before, H.B. Paid to tenant = not paid on to LL = eviction = homelessness, as the gov' well know!!! Everybody', write/email them now! Chasing l------r voters comes to mind??? There's always the bk door as an option! All comments send them on.

Whiteskifreak Surrey

9:12 AM, 15th April 2019
About 6 days ago

BBC runs an article on that today, largely triumphant that the end of landlords is at sight.
https://www.bbc.com/news/uk-47927706

Disgusting. Time to call the time being a LL, pack up and sell. BTW - will limited companies also be affected?

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