The UK government has announced a new £47 fee for tenants who wish to appeal rent increases through the first-tier property tribunal. This move forms part of proposed legislation aimed at introducing a revised fees framework within the Property Chamber, intended to balance operational costs with access to justice.

New fee for rent increase appeals

<pJustice Minister Sarah Sackman confirmed in a written parliamentary response that tenants challenging rent rises under Section 13 of the Renters’ Rights Act will be required to pay a £47 application fee. Notably, there will be no additional hearing fee for these cases, making it one of the lowest tribunal fees within His Majesty’s Courts and Tribunals Service (HMCTS).

Ms Sackman emphasised that the Ministry of Justice regularly reviews fees to ensure the tribunal service remains fair and efficient while protecting access to justice. She stated: “The government has laid legislation to begin the process of implementing a new fees framework in the Property Chamber. The purpose of the new framework is to deliver a fair and sustainable Property Chamber that is accessible to all.”

She also highlighted the availability of the Help with Fees scheme, which provides financial support to those unable to afford the fee. In the 2024/25 financial year, the government remitted £91 million in fees to safeguard access to justice. The proposed changes remain subject to Parliamentary approval.

Concerns over tribunal delays and landlord impact

Previous reports have raised concerns about the practical implications of the Renters’ Rights Act on landlords. Under current rules, any rent increase upheld by the tribunal takes effect only from the date of the tribunal’s decision, rather than from when the landlord initially served notice. This can result in delays of several months before higher rent payments commence, even if the tenant’s challenge is unsuccessful.

Geoffrey Vos, Master of the Rolls and head of civil justice in England and Wales, has warned that these rules may incentivise tenants to challenge every rent increase to delay implementation. This potential for repeated appeals could create uncertainty and financial limbo for landlords awaiting rent adjustments.

What this means for landlords

For landlords, the introduction of a £47 fee for tenants appealing rent increases may act as a modest deterrent against frivolous or frequent challenges. However, the absence of a hearing fee and the possibility of delays in rent adjustments remain significant concerns. Landlords may face prolonged periods without the benefit of increased rent, impacting cash flow and financial planning.

Furthermore, the government’s commitment to maintaining access to justice through fee remission schemes means that some tenants may still be able to challenge rent rises without financial barriers. Landlords should therefore prepare for ongoing tribunal activity and consider the potential administrative and financial implications.

Source: Based on reporting from Property118

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