Students lets won't become periodic tenancies as the Renters (Reform) Bill is dropped

With the Renters (Reform) Bill now hitting the buffers after Prime Minister Rishi Sunak called a General Election, student landlords can breathe a sigh of relief - for now.

While the law was not chosen to be rushed through Parliament in the 'wash up period', it doesn't mean that Labour won't resurrect it should they win power.

If the Conservatives win, they could also bring the Bill back to life in the autumn.

The ending of the Bill means that student landlords won't see fixed tenancies being ditched for periodic ones.

And Section 21 'no-fault' evictions won't be abolished, and landlords who refuse to rent to benefits claimants won't be punished.

Reactions from across the private rented sector

As expected, there has been a range of reactions from across the private rented sector with the National Residential Landlords Association saying it was 'hugely disappointed'.

It also wants to work with the next government on PRS reforms.

Its chief executive, Ben Beadle, said: "The news comes despite the fact that the Bill was in a state which would work for tenants and responsible landlords.

"There has been too much dither and delay in government, and a failure to be clear about how to ensure changes would work in practice."

He added: "Critically, the market now faces yet more crippling uncertainty about what the future of the private rented sector looks like.

"Reforming the sector will be an important issue for the next government and we will work constructively with them to ensure changes are fair and workable.

"That means empowering tenants to challenge rogue and criminal landlords whilst ensuring the confidence of responsible landlords to stay in the market."

'It failed to please anyone'

Propertymark's head of policy and campaigns, Timothy Douglas, said: "The legislation was introduced very late on and whilst attempting to please everyone, it failed to please anyone.

"Many agents will be relieved that the current government's plans to meddle with fixed term tenancies and reforming eviction grounds with little realisation of the unintended consequences will no longer pass, but this is soon outweighed by a sense of uncertainty and apprehension as to what the next government will do."

He adds: "Propertymark remain committed to engaging with politicians from all sides and will continue to call for agent regulation, tax reform, more resources for the courts and enforcement authorities, as well as ensuring renting property retains flexible tenancy options that have made the private rented sector the success it is today."

'Tories' decision to cave in to vested interests'

Among critics of the move was shadow housing minister, Matthew Pennycook, who said: "The Tories' decision to cave in to vested interests and abandon their already weakened Renters (Reform) Bill leaves in tatters the promises they made to private tenants five years ago.

"If the Tories get back in, renters will remain exposed to spiralling costs, poor housing standards and the risk of homelessness from no-fault evictions."

He added: "Labour will turn the page on 14 years of Tory chaos, deliver where the Tories have failed and pass robust renters reform legislation that abolishes Section 21 no-fault evictions immediately and decisively levels the playing field between landlords and tenants."

'Failed England's 11 million renters'

Shelter's chief executive, Polly Neate, said: "The government had five long years and every opportunity to honour its manifesto commitment to abolish Section 21 no-fault evictions, but instead it has failed England's 11 million renters.

"Renters have been shouting from the rooftops about the urgent need for reform, but once again politicians have let them down."

Ben Twomey, the chief executive of Generation Rent, blamed MPs for the Bill's delay and said: "Abandoning the Renters (Reform) Bill as Parliament dissolves means the government has failed in its promise to renters at the last election to deliver a fairer tenancy system.

"If it had not been for delays caused by a minority of MPs opposing the Bill, the government could enter the election campaign with a new law to end Section 21 evictions and bring in stronger protections for renters.

"It now falls to the next Parliament to start afresh and get it right at the second time of asking.

"Whoever forms the next government must make rental reform a key part of their agenda."

‘Sector won’t be moving to periodic tenancies’

Simon Thompson, the managing director of Accommodation for Students, said: “There will be a lot of relief among student landlords knowing that the sector won’t be moving to periodic tenancies.

“I know the government had put forward a ground for possession of short-term student tenancies, but there is a strong chance the Bill will come back – and it could be worse for student landlords.”

He added: “We need to explain what the issue is for private student landlords – and point to the purpose-built student accommodation (PBSA) sector that would have been exempt from periodic tenancies.

“I said it at the time, and I’ll say it again, the government realised that periodic tenancies wouldn’t work for student lets but only exempted the PBSA sector. That can’t be allowed to happen again.”