Labour is set to introduce legislation aimed at preventing landlords from evicting tenants with no alternative housing options, according to a report by the Telegraph. The proposed measures include adopting a French-style ‘hardship test,’ which requires landlords to prove that an eviction will not exacerbate a tenant’s situation before proceeding.
The initiative, backed by Housing Minister Matthew Pennycook, seeks to mitigate homelessness by imposing stricter conditions on evictions. The rule would effectively ban evictions that could leave tenants in a worse financial or living condition.
In addition to these eviction reforms, Labour is also discussing the reintroduction of a minimum Energy Performance Certificate (EPC) rating of C for the private rental sector, as highlighted by the Telegraph.
Concerns Over a ‘War on Landlords’
The Telegraph reports that these proposed changes have sparked concerns about a potential ‘war on landlords,’ with additional regulations, loss of mortgage interest tax breaks, and increased stamp duty surcharges. The housing minister plans to amend the new Renters’ Rights Bill to incorporate the hardship test.
Previously, while the Renters (Reform) Bill was progressing through Parliament, Mr. Pennycook attempted to introduce an amendment to protect tenants from evictions that would cause significant hardship. The amendment, which ultimately did not pass, identified specific circumstances under which a judge could refuse a possession order, including cases where eviction would result in job loss, homelessness, or impact a tenant with terminal cancer.
Labour’s Majority and Future Legislation
Although Mr. Pennycook’s earlier amendment did not succeed, Labour’s current 174-seat majority in Parliament positions them well to advance these reforms. The Telegraph also notes Labour’s intention to reintroduce EPC targets for landlords, aiming for compliance by 2030. While these requirements could entail costly upgrades, there is speculation about a potential £10,000 cap on expenses, although discussions suggest Labour might consider a higher cap or no cap at all.
Debate Over EPC Targets
Conservative MP for Harrow East, Bob Blackman, criticized the proposed EPC targets as “unfair” and “impractical,” arguing that many rental properties cannot be feasibly upgraded. He expressed concern that such mandates would force landlords to sell properties and subsequently raise rents to cover the costs, ultimately burdening tenants.
Government Response
A government spokesperson defended the Renters’ Rights Bill, stating, “The private rented sector is in desperate need of reform, and our Renters’ Rights Bill will make renting fairer for all. The energy shocks of recent years have also shown the urgent need to upgrade British homes to secure our energy independence and reduce fuel poverty. Responsible landlords who provide quality homes to their tenants have nothing to fear from the sensible overhaul of private rented sector regulation we intend to implement.”
As Labour moves forward with these proposals, the debate over the balance between tenant protection and landlord rights continues to intensify.