Jessica Harris discusses the impact of abolishing no-fault evictions in PropertyWire

Jessica’s article was published in PropertyWire, 22 July 2024, and can be seen here.

Jessica Harris, Senior Associate in our Commercial Property team discusses, the implications of the Labour government’s plan to abolish Section 21 ‘no-fault’ evictions.

Section 21 currently allows landlords to regain possession of their property with two months’ notice, without needing to prove tenant fault. The proposed reforms aim to simplify tenancy structures by making all tenancies periodic and requiring landlords to use Section 8 grounds such as selling the property or tenant misconduct to end a tenancy.

Jessica highlights that while the reforms are intended to protect tenants and reduce homelessness, they risk creating significant disruption in the private rental sector. Many landlords rely on Section 21 as a practical tool to manage difficult tenancies without engaging in lengthy and uncertain legal battles. The perception that Section 21 is widely abused is, she argues, a misunderstanding of its use. In reality, it is often used to remove tenants who have breached agreements, but without the complications of proving fault in court.

The article also warns of unintended consequences: landlords may exit the rental market, shift to short-term lets, or become more selective raising barriers for tenants. Jessica stresses that abolishing Section 21 could increase pressure on an already overburdened court system, as more landlords are forced to pursue Section 8 proceedings. She concludes that while the reforms may curb rogue landlords, they could ultimately make it harder for tenants to find stable housing, undermining the very goals they aim to achieve.

Read the full article on the PropertyWire website [external link].