Student landlords get good news in Renters (Reform) Bill amendments

The controversial Renters (Reform) Bill is heading back to Parliament this month with several amendments - including a provision for student landlords to evict student tenants at the end of an academic year.

The move will allow landlords to guarantee properties for new students - an issue raised by Universities UK, Propertymark and the National Residential Landlords Association (NRLA).

Propertymark said: "We have long been vocal on the issue of fixed-term tenancies. Our Future of Renting position paper highlighted to the UK government that a blanket move to periodic tenancies would mean that students find it difficult to rent a property.

"After months of consideration, the UK government will now amend the Bill to ensure that the mandatory possession ground to facilitate student lets applies to any property let by students, as long as landlords write their intention to use the student possession ground into the tenancy agreement."

'Landlords who let properties to students lobbied to have them excluded'

The National Union of Students is not impressed with the proposals, saying 'right from the get-go landlords who let properties to students lobbied to have them excluded from the protections offered to other tenants'.

It adds that it and the 'student movement' were delighted with the original Bill until it became 'aware of a continuing, and concerted campaign'.

This would create an 'unprecedented two-tier rental market, where students would be at the mercy of Section 21 evictions that other tenants would be protected from'.

The union's vice president for higher education, Chloe Field, said: "The student housing market is broken, as is our higher education system.

"This government has offered students nothing, other than the occasional top up to hardship funds.

"The Renters (Reform) Bill was the one concrete thing the Government had to offer us.

"To have the Government throw this away and ensure that landlords continue to have all the power is unforgiveable."

Proposed amendments to the Bill

News of the proposed amendments to the Bill came to light after a letter written by Levelling Up Minister Jacob Young to fellow Conservative MPs was leaked.

The proposals also include a mandatory six-month minimum tenancy, replacing the current two-month notice period.

And there's a real prospect that Section 21 'no-fault' evictions might be scrapped altogether.

Landlords would still be able to evict under certain circumstances, such as selling the property.

Further revisions include reviewing council landlord licensing schemes to avoid duplication with a new property portal.

Accused Michael Gove of caving in

In response, Labour's shadow housing minister, Matthew Pennycook, accused Michael Gove of caving in to the party's backbenchers who expressed strong opposition to the bill.

While many of those objecting are landlords, Mr Pennycook said: "Rishi Sunak and Michael Gove have chosen once again to put the interests of party management ahead of what is right for the British people.

"After years of delay, private renters have every right to be furious at the watering down of the vital protections the Tories promised them."

Polly Neate, the chief executive of Shelter called the changes 'cowardly', adding the government would rather 'betray renters' than standing up to its own MPs.

'Ministers now need to crack on'

The NRLA's chief executive, Ben Beadle, said: "All the rumour, speculation and off-the-record briefings about the future of the Bill has caused a huge amount of concern and uncertainty for tenants and responsible landlords.

"The Government has a mandate to end section 21 repossessions. Our focus has been on ensuring that the replacement system works, and is fair, to both tenants and responsible landlords.

"The changes being proposed would achieve this balance."

He adds: "Ministers now need to crack on to ensure the Bill can proceed with the scrutiny it deserves.

"The lack of progress and uncertainty about the future is destabilising and damaging for those living and working in the private rented sector. It is time to bring this to an end."

Tory MP Anthony Mangnall is one of the backbenchers with concerns about the Bill and he wants more changes, highlighting issues with fixed-term contracts that will need fixing.

The Section 21 ban

Tom Darling, a campaign manager with the Renters' Reform Coalition fears the Section 21 ban would not be in place until after the General Election.

Speaking to the BBC, he also warned that the Bill is 'fast becoming a Landlord's Charter'.

The chief executive of Crisis, Matt Downie, said: “The Renters (Reform) Bill’s purpose was to give much needed protection to renters, and it's absolutely vital that it does so.

"Failing to immediately abolish Section 21 or 'no-fault' evictions – the leading cause of homelessness in England – won't do that."

'Student landlords need to watch the progress of the Bill'

Simon Thompson, the managing director of Accommodation for Students, said: "Student landlords need to watch the progress of the Bill to ensure the proposed changes become reality.

"It does appear that the government has listened to the student accommodation sector, and the universities, and is prepared to change."

He added: "It was ridiculous that the purpose-built student accommodation (PBSA) sector would have fixed term tenancies, but private landlords wouldn't.

"That means there was a realisation, as I have consistently highlighted, that the student sector needs fixed term tenancies to ensure accommodation is available for a new academic year."