Monday, 18 April 2016

Housing and Planning Bill 2015-2016 – An Overview

The Housing and Planning Bill 2015-2016 is currently being discussed in the House of Lords and is well on its way to becoming live legislation.
This new legislation proposes a lot of changes and is in its final planning stages, so some of this article may become inaccurate with further changes to the bill. It is also not in force at the time of writing.

What are the main changes it proposes?

Banning order
This bill proposes a ‘banning order’ on ‘rogue landlords and letting agents’.  The order must last for at least 12 months and will ban a person from letting housing, engaging in letting/agency work or property management work. A banning order can only be made by a local housing authority.
It may grant exceptions to allow existing tenancies which cannot be immediately ended or to allow a business to wind down. The ban may also specify that someone with a banning order may not be a part of a company that undertakes that work.
A banning order may be placed on a person, or on a company and its acting officers. A breach of a banning order is an offence.


Database of Rogue Landlords and Letting Agents

The Secretary of State will establish and operate a database of rogue landlords and property agents – a ‘rogue’ landlord or letting agent is one with a banning order. They must be listed on the system for the whole duration of their banning order. Local authorities will be responsible for maintenance, updating and editing.

Information that will be included on the database will include person’s address and contact details, how long the entry will last, details of property owned/managed, details of any convicted banning orders, details of any banning orders made (whether still in force or not) and details of fines received. If a corporate body is entered, its officers must also be entered.


Rent Repayment Orders

Rent repayments from landlords can be applied for by a tenant or by a local housing authority. Rent repayments to tenants or the local housing authority can be enforced if a landlord has committed one of the following offences:

-          Violence for securing entry
-          Eviction or harassment
-          Non-compliance with an improvement notice
-          Non-compliance with a prohibition order
-          Control/management of an unlicensed HMO
-          Control/management of an unlicensed house
-          Breach of banning order

If a landlord is convicted and gains a banning order, the local housing authority must consider applying for a rent repayment order.


Recovering Abandoned Premises in England

A landlord may give three separate notices in order to recover abandoned premises. The notices must be given in the same fashion as a Section 21 notice would be delivered to the tenant’s premises, to their last known address, etc.

1)      The first notice can be given before the tenant is two months in arrears (for an Assured Shorthold Tenancy paid monthly) and can be given when the landlord believes the property is abandoned. It must give at least a two month window in which the tenant can respond before a landlord recovers possession of the property.

2)      The second notice can be given if the tenant is two months in arrears in paying a monthly rent and has not responded to the first notice. It must also be given at least two weeks after the first notice and no later than four weeks after the first notice. If any rent payment is made, these notices are invalid.

3)      The third and final notice must be given before the five days ending with the date specified in previous warning notices.

Notices are not valid if the tenant contacts the landlord or makes a rent payment.

A tenant may apply to reinstate a tenancy if it is ended in this way if they had a good reason for not responding to the notices.

A landlord may give a tenant notice to bring an assured shorthold tenancy to an end on the day which the notice is given if the above notices have been given correctly.


Below are links to the relevant legislation on the government website.
Housing and Planning Bill (HL Bill 110)
Housing and Planning Bill 2015-2016