Session 2024-25
Renters' Rights Bill
Written evidence submitted by Jim Dickinson (RRB04)
I work at Wonkhe - which specialises in higher education policy analysis and debate, bringing the sector together through expert analysis, debate and insight. A community of diverse voices, we provide platforms to drive the policy conversation forward.
As part of my role I support students’ unions and associations to understand higher education policy, regulation and research on the student experience.
I am writing in a personal capacity.
Underpinning issues
Two key issues I’d like to raise at the outset is the repeated claim that similar reforms in Scotland caused an "exodus" of PRS landlords to exit the market, and questions over the implementation of the Bill.
The first is a key debate over supply. Many for example have argued that Glasgow’s contraction of off-street HMO accommodation forced more students into PBSA spaces, limiting availability for first-year students and causing educational disruptions. However, the evidence remains largely anecdotal, with even the UK Collaborative Centre for Housing Evidence admitting a lack of concrete data.
My analysis of student housing data via Council Tax exemption in Scotland, including cities like Glasgow, Aberdeen, and Edinburgh, shows no clear collapse in supply, with fluctuations appearing more related to pandemic impacts or shifts toward AirBnB rather than tenancy reforms alone. Despite claims of a housing emergency, trends indicate that the situation are more likely to have been influenced by increased demand, particularly from international students, rather than a significant reduction in available spaces.
It’s more likely that landlords have been selling properties to restructure their mortgage debt, but selling to other student landlords rather than exiting the student housing market entirely. This would mean that while some individual landlords may leave, the overall supply of student housing could remain stable if the properties continue to be used for student accommodation under new ownership.
Secondly I can find nothing in the Bill re transitional arrangements. Given a large number of students are pressured into signing a tenancy agreement in advance (a problem in and of itself), it’s not clear whether any fixed term tenancies would be null and void upon Royal Assent. This will obviously need clarifying.
Upfront rent
Chapter 1, Section 1 and Chapter 1, Section 9 cover upfront rent.
There is substantial evidence highlighting the financial strain that large upfront rent payments place on students, affecting their affordability and housing access. The Bill in theory limits the amount of upfront rent landlords can charge, which previously had no legal cap - but legal experts are conflicted over the effect and clarity of the provision.
This change is significant as students often face demands for six to twelve months' rent in advance if they lack a rent guarantor, adding to their financial burden. Rising rents have exacerbated the situation, with student accommodation costs increasing significantly, consuming nearly all of the average maintenance loan. These financial pressures are linked to increased student stress and anxiety, as they struggle to manage high housing costs alongside their studies.
● Housing and living costs - students need help
● A Guide to Rent Affordability for Students - HelloGrads
● Why we need to address the issue of student rent guarantors
Cancelling on two months’ notice
Chapter 1, Section 19: "Notices to quit by tenants under assured tenancies: timing," which specifies that tenants can only serve notice to quit once they are in possession of the property and the tenancy has commenced.
There is significant evidence that students are pressured into signing early, often months in advance. The inability to exit contracts early can negatively impact student well-being, as they may be forced to stay in housing that does not meet their needs or financial capabilities. Ideally this section will be amended to allow a tenancy to be cancelled once signed, not once someone moves in.
● Renters (Reform) Bill and the impact on higher education - HEPI
● The Renters Reform Bill: after the fall - Where should student housing go from here? - HEPI
● Student housing - ending your agreement in halls - Citizens Advice
Halls are different
I am concerned generally that the Bill excludes PBSA without detailing the way in which the national codes might be strengthened and reformed to ensure students in those settings (some 459,660 in England in 2022/23) enjoy similar rights. As it stands they will experience:
● Weaker eviction protections and shorter notice periods.
● Fewer legal rights to challenge rent increases, repairs, or deposit disputes.
● Less security of tenure, meaning students may be forced to leave more easily.
● Reduced privacy and autonomy, with providers having greater access to rooms.
● No access to the new rights to an Ombudsperson, the right to bring a tenancy to and end, the right to have pets and so on.
An amendment could remove the different rights, cause a market review by the CMA, or at least strengthen the Codes.
● Student housing - standards in halls - Citizens Advice
● Savvy students know their renting rights - GOV.UK
● Affordable housing for all - NUS Connect
● Student housing - rights and responsibilities in halls - Citizens Advice
Summer eviction 1
The relevant sections of the Renters’ Rights Bill that cover the transition from assured shorthold tenancies (ASTs) to rolling tenancies and the conditions for evicting tenants in student accommodation during the summer period are:
Chapter 1, Section 4: "Changes to grounds for possession," which includes amendments related to the grounds for possession under assured tenancies.
Schedule 1: "Amendments relating to Chapter 1 of Part 1," which likely details specific grounds for possession, including the conditions under which landlords can seek eviction of students during the summer months.
This provision does not account for students on non-traditional academic schedules, such as those starting in January, potentially leading to mid-year evictions that disrupt their studies and personal stability. Additionally, students with local ties, families, or international backgrounds may face housing instability and higher costs due to these evictions, as they are forced into short-term or substandard accommodations.
Should landlords seek to protect summer rent given the 2 months’ cancellation provision by changing contracts to run from June (and so eviction in early following June), this could also significantly impact students who require housing over the summer, such as student nurses, teachers, those on long academic years, or postgraduate researchers (PGRs). These groups often have academic or professional commitments that extend into the summer months, necessitating stable housing during this period.
An amendment could align the eviction provision to a student’s needs or academic year - or just scrap that. There is no particular evidence from Scotland that it is a problem that needs fixing.
Unilateral ending of a tenancy
The Bill does not adequately address the complexities of joint tenancies, particularly the unilateral termination by one tenant, which can lead to confusion and disruption for remaining tenants, although relevant provisions could potentially be covered under:
● Chapter 1, Section 19: "Notices to quit by tenants under assured tenancies: timing," which outlines rules for serving notices to quit under assured tenancies.
● Section 4 and Schedule 1: Amendments related to grounds for possession might also touch on tenant rights, though they do not explicitly address the specific situation of joint tenants giving notice.
Casework suggests the problem is common, causing financial strain and stress for those left behind. In Scotland protections for joint tenancies are being introduced, where one tenant will need to give notice to end a joint tenancy after a two-month consultation period. A similar amendment could cover that.
Guarantors
The Bill doesn’t currently mention guarantors, but the relevant part of the Renters’ Rights Bill that addresses discrimination in the rental market is:
Chapter 3, Section 33: "Discrimination relating to benefits status," which covers discrimination in tenancy agreements. While it primarily focuses on benefits status, it could serve as a basis for further amendments to include protections against discrimination based on nationality or citizenship.
I am aware that the National Union of Students has raised the issue of guarantors being required - even if they were not it is clear that landlords will be reluctant to rent to international students. Current anti-discrimination clauses in the Bill could be amended to include those without a guarantor and/or discrimination on the basis of nationality.
Duties on universities?
The Renters’ Rights Bill does not currently contain any provisions directly imposing a duty on universities to ensure access to affordable and suitable accommodation for students living away from home. However, there are general provisions concerning discrimination in the rental market (Chapter 3), and the role of local authorities and landlords in maintaining housing standards.
Universities UK has published guidance on the issue - an amendment could amend the Higher Education and Research Act to give the Office for Students powers to make paying due regard to such guidance mandatory.
Would an ombuds work for students?
The relevant part of the Renters’ Rights Bill that covers the introduction of an Ombudsman for tenant complaints is:
Chapter 2, Section 62: "Landlord redress schemes," which outlines the framework for a redress scheme, including an Ombudsman, to handle tenant complaints and disputes.
The Bill does not specifically provide for a fast-track mechanism for student complaints, which would require either an amendment or a commitment from ministers to address the unique pressures faced by student renters – especially given the intent to give landlords the right to evict some students in the summer. Given complaints resolution timeframes for the HE ombuds frequently are longer than a year, this will be necessary for students in a rental context.
In addition an amendment could to be added to ensure that compensation takes into account the impact of housing issues on students’ academic performance.
All-inclusive bills
The Renters’ Rights Bill does not currently include specific provisions regarding "all-inclusive" rent agreements or acceptable energy use limits in student accommodation or HMOs. However, the following sections might indirectly relate to this issue:
● Chapter 1, Section 26: "Tenant fees," which could cover areas related to charges included in rent or additional costs imposed by landlords.
● Chapter 1, Section 7: "Statutory procedure for increases of rent," which outlines rules for rent increases and might have some relevance to how rent-inclusive agreements are structured.
Casework suggests that HMO landlords offer "all inclusive Bills" in with the rent, but include acceptable use clauses. Students often find that the amount of energy they can use that’s "included" is not enough – and there are no incentives on landlords to implement energy saving repairs to a house.
An amendment could require new sections to specifically address energy usage, "all-inclusive" rent agreements, and energy efficiency requirements - or just outlaw their use.
● HMO Network - Advice for HMO Landlords
● The HMO Roadmap - Managing Utility Bills
● Glide - Simplifying Bills for Professionals in HMOs
● HMO Letting Agent - Effective HMO Energy Cap Strategies
● Landlord Zone - Warning to HMO Landlords
Problems with deposits
The relevant part of the Renters’ Rights Bill that addresses deposit issues is:
Chapter 1, Section 25: "Tenancy deposit schemes," covers the rules around deposit protection and disputes, but does not specifically address unjustified deductions or the tenant’s right to remedy issues at the end of a tenancy.
Another issue that comes up all the time in the casework is landlords charging students for things at the end of a tenancy when handing back partial deposits – things that, it turns out, the landlord doesn’t actually spend the money on for the next tenants. Ideally that is a practice that should be banned – with tenants given the ability to fix any issues identified at the end of the tenancy themselves, rather than by their landlord.
Deposits in halls
The relevant part of the Renters’ Rights Bill that addresses deposit protection is:
Chapter 1, Section 25: "Tenancy deposit schemes," which outlines the requirement for landlords to protect deposits under government-approved schemes for assured tenancies.
However, as the Bill currently stands, this requirement does not apply to Purpose-Built Student Accommodation (PBSA) tenancies, which are not considered assured tenancies.
An amendment would need to extend deposit protection requirements to PBSA tenancies, ensuring that deposits are protected under a tenancy deposit protection scheme.
How long are contracts?
The Renters’ Rights Bill does not currently address the specific issue of limiting the duration of student tenancy or licence agreements. However, the following sections may indirectly relate to tenancy terms:
Chapter 1, Section 1: "Assured tenancies to be periodic with rent periods not exceeding a month," which outlines the structure of periodic tenancies.
Chapter 1, Section 9: "Tenants’ right to end a tenancy," which provides rules for ending tenancies but does not specify shorter fixed terms for student tenancies.
An amendment would require changes to extend protections specifically to Purpose-Built Student Accommodation (PBSA), ensuring shorter term options are available. This has now been implemented in Ireland.
Local plans
The Renters’ Rights Bill does not directly address issues related to local planning or student accommodation as part of the Levelling-up and Regeneration Act 2023. However, any relevant provisions related to planning and development could be covered under:
Chapter 3, Section 33: This section touches on general housing and development concerns but does not explicitly mandate the inclusion of student accommodation in local plans.
Amendments could require updates to the Levelling-up and Regeneration Act or an equivalent planning statute to introduce specific duties for addressing student accommodation within local planning frameworks.
Role of OfS
The Renters’ Rights Bill does not directly address student accommodation costs or quality as highlighted in the Review of Post-18 Education and Funding (2019). However, relevant provisions regarding housing affordability and development could potentially fall under:
Chapter 3, Section 33: This section deals with broader issues of housing and development but does not specifically focus on student housing or the Office for Students’ role in monitoring student accommodation costs.
An amendment could require changes to the Higher Education and Research Act 2017 or new legislation specifically aimed at addressing student accommodation through the Office for Students (OfS).
Fines for conduct
The Renters’ Rights Bill does not explicitly cover the issue of fines for non-financial breaches in Purpose-Built Student Accommodation (PBSA), as discussed under the Tenant Fees Act 2019. These are frequent in PBSA on the grounds of "conduct".
However, Chapter 1, Section 25 on "Tenancy deposit schemes" and Chapter 3, Section 33 concerning housing standards and regulations indirectly touch on the rights and protections of tenants.
To address the issue of punitive fines levied on students for minor conduct breaches, an amendment to the Tenant Fees Act 2019 or specific new provisions would be needed. These would ensure that fines outside of permitted payments are regulated and that students in PBSA are protected from unlawful charges.
Rent increases
The parts of the Renters’ Rights Bill that cover rent increases include:
Chapter 1, Section 7: "Statutory procedure for increases of rent under assured tenancies." This section outlines the process landlords must follow to increase rent in an assured tenancy. It requires the landlord to issue a formal notice of the rent increase, and tenants have the right to challenge this through a tribunal if they believe the increase is excessive. It specifies that rent can only be increased once per year under a periodic tenancy.
Chapter 1, Section 8: "Prohibition on unreasonable rent increases." This section adds further protections by prohibiting landlords from implementing rent increases that are deemed unreasonable or disproportionate, giving tenants more protection from sudden or steep rent hikes.
The provision allowing once-per-year rent increases, paired with the ability for landlords to evict students during the summer, creates a loophole in the student rental market. Landlords can evict tenants at the end of the academic year to bypass rent increase restrictions and charge higher rents to new tenants. More generally the provision doesn’t work for students because they tend to move out more often.
An amendment could address this by strengthening protections for students renewing their tenancies and applying the proposal to houses not tenancies.
Enforcement
The section of the Renters’ Rights Bill that deals with housing enforcement and partnerships involving local authorities is found in:
Part 4, Chapter 2: Discusses the "Enforcement Authorities". This chapter outlines the role of local housing authorities, their duties to enforce landlord legislation, and the possibility of coordination with lead enforcement authorities.
While it does not specifically address partnerships with students’ unions or universities, it provides a framework for how local authorities might delegate or cooperate on enforcement tasks.
A proposed amendment could add a new section to establish formal partnerships between local housing authorities, students’ unions, and universities to help enforce housing standards and resolve student accommodation issues. These are common across Europe.
October 2024