What legislation we can expect in 2021 within the Lettings Industry?
What a strange year 2020 has been! As we near its end we look at what 2021 may have in store in terms of legislation…
Electrical certificates have been mandatory since 1st June 2020 for any new tenancy entered, however a ‘grace’ period was given to existing tenancies. The 1st April 2021 see’s that grace period end. Therefore, any tenancy, be it a fixed term or periodic, that commenced before 1st June 2020 will be required by law to have a valid electrical certificate in place.
EU Settlement Scheme
As we continue with our exit from the EU, there are implications for agents and landlords who are required to complete ‘right to rent’ checks on tenants and permitted occupiers. Whilst tenants have the responsibility for ensuring they apply for EU settlement, and many will have started this process already, some may still not be aware. The latest information sheet published by HM Government has been sent to all our managed tenancies to inform our tenants of their obligations – should you manage your own tenancy we suggest you do the same. A new ‘Digital Right to Rent Check’ will be introduced next year for some non-UK residents, the online service will either confirm someone has the continuous right to rent, therefore no further checks will be required, or a date will be provided when further checks would be necessary.
At the end of 2019, Prime Minister Boris Johnson said, “The costs of deposits make it harder for tenants to move’’. A solution was outlined in the Renter’s Reform Bill during the Queen’s Speech in December 2019 - lifetime deposits.
Although the government has yet to set out specific details on how the scheme will work, the Tenancy Deposit Protection Reform Working Group was created to find ways to make the “passporting system” viable in the current market.
There is no timescale set for when this concept could be enacted.
Should you have any queries with reference to the above please do not hesitate to contact me at the office. As and when the Government provides further information and detail, I will update you with further blogs in 2021.
Lettings Manager – 01474 321957