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Conservative councillor warns Renters’ Rights Act will penalise good landlords

Conservative Councillor Warns Renters’ Rights Act Will Penalise Good Landlords

The Renters’ Rights Act, set to come into force on 1 May 2026, has raised concerns among landlords and agents due to its potential impact on the private rental sector. Surrey County Councillor Jonathan Hulley, writing in Conservative Home, warns that the legislation may inadvertently penalise responsible landlords while benefiting less scrupulous ones. This could lead to fewer rental properties, higher rents, and increased pressure on the court system, all of which are critical issues for landlords to consider.

Potential Impact on Landlords and the Rental Market

Jonathan Hulley highlights that the Renters’ Rights Act requires landlords to provide a specific legal reason before repossessing their property, effectively abolishing the Section 21 no-fault eviction process. While the Act aims to protect tenants, it may disrupt the delicate balance between tenant protection and landlord confidence. Hulley warns that many small landlords, who constitute a significant portion of the rental market, might choose to exit the sector due to the increased regulatory burden.

This withdrawal could result in a reduced supply of rental properties, driving rents higher for tenants who remain in the market. Hulley draws a parallel with the 1970s, when heavy regulation pushed much of the private rental market underground, a situation landlords and agents will want to avoid repeating. The risk is that well-intentioned legislation might inadvertently reward less responsible landlords while penalising those who maintain and invest in their properties.

Challenges for the Court System

Under the new legislation, every eviction will require a court hearing, replacing the simpler Section 21 process. Hulley points out that the civil courts are already under significant strain, with the average possession case currently taking over thirty weeks to resolve. The introduction of more complex hearings, stricter evidential requirements, and expanded rights for tenants to challenge decisions will likely extend these delays further.

Without increased government investment in court infrastructure and staffing, there is a real risk that the system could become overwhelmed. This would not only delay possession proceedings but also add uncertainty and cost for landlords seeking to regain their properties. For landlords and agents, understanding these potential delays is crucial for managing expectations and planning tenancy agreements accordingly.

The Case for a More Cautious Approach

Hulley argues that a more measured approach, such as the Conservatives’ Renters’ Reform Bill, would have been preferable. This earlier proposal suggested waiting until the courts were fully prepared before abolishing Section 21, ensuring that reforms were supported by adequate investment in court processes and clear guidance for both landlords and tenants.

He emphasises that fairness in housing cannot be achieved through sweeping legislative changes alone. Instead, it requires trust, partnership, and an efficient justice system that works for all parties involved. Landlords and agents should be aware that the Renters’ Rights Act, while aiming to improve tenant protections, may undermine these principles if implemented without sufficient support.

Preparing for the Future

With the Renters’ Rights Act due to take effect on 1 May 2026, landlords and agents should prepare for the changes it will bring. This includes anticipating longer possession proceedings and adapting to new legal requirements for evictions. Staying informed about the evolving legal landscape will be essential for managing rental portfolios effectively and maintaining compliance.

Additionally, the Tenant and Landlord Association (TLA) is launching a new Trusted Partners Hub in Q1 2026. This initiative will feature verified and approved service providers selected to support landlords, tenants, and property management businesses. Legal, trades, insurance, financial, mortgage, tenant screening, and other service providers are invited to register their interest to become TLA service partners. This resource aims to assist landlords in navigating the complexities of the rental market under the new legislation.

Source: www.property118.com

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