Goodbye Section 21, Hello Section 8!

Royal Assent is estimated to be in July 2025, but the full implementation may not happen until 2026, with the new rules being introduced in phases over the following 12 to 18 months.

One of the main changes is the abolishment of no-fault evictions, also known as a Section 21 notice.

Currently landlords are able to evict tenants simply by serving a Section 21 notice without a reason after the initial fixed term of a tenancy has ended. Once Section 21 ‘no-fault’ evictions are abolished, landlords will need to rely on a Section 8 notice, requiring them to provide specific, valid reasons for eviction, such as rent arrears, breach of tenancy, if they wish to either move in the property themselves, move a family member in or place the property on the open market. Tenants will have the right to challenge these grounds in court.

The Renters Rights Bill also brings an end to Fixed Term tenancy agreements. All tenancy agreements old and new will become ‘periodic’ albeit a new tenancy agreement will give a 12 month safety net to a tenant from eviction unless they are in breach of the tenancy agreement i.e. rent arrears.

More complex and longer process

There are also changes to Section 8 notice periods which will more than likely lead to a more complex and potentially longer eviction process such as a landlord having to provide 4 weeks’ notice if their tenants are in rent arrears instead of the 2 weeks’ notice currently. Tenants also will have to be in more than 3 months rental arrears instead of the current position of 2 months.

In addition landlords may encounter more obstacles if they wish to regain possession of their property. Furthermore their maybe implications for them selling a property with vacant possession. This and other complexities highlighted in the Renters’ Rights Bill have not been well received by landlords. The media reports that there has been a significant spike in landlords listing properties for sale in recent years.

Specific and valid reason for eviction

Once Section 21 notices are abolished, if a landlord wants to evict a tenant, they must issue a Section 8 eviction notice giving a specific and valid reason for eviction, which must include one of the following:

–           failing to pay rent/falling behind with rent

–           property damage/destruction

–           antisocial behaviour

–           being a nuisance to neighbours

–           using property to perform a criminal activity

Other reasons include a situation where the landlord wants to:

• Redevelop the property
• Sell the property
• Move into the property themselves, or allow a close family member to move in and rent the property

The notice period which a Landlord would need to give to a tenant if they wanted to utilise the ‘other reasons’ is set at 4 months’ notice whereas under the current Section 21 laws the notice period is 2 months.

Parveen Sidhu, Head of Dispute Resolution at Alsters Kelley said. “The eviction process under Section 8 will undoubtedly be more complex and time-consuming than using Section 21, potentially leading to delays and increased costs for landlords. In fact, landlords may become more cautious when selecting tenants, fearing the difficulty and expense of evicting problematic tenants under Section 8. And the worst case scenario of many landlords selling up is a potential shortage of rental properties and increased rents.”

Initial fixed fee meeting for support and advice

If you need help or support with a dispute, we offer an initial fixed fee meeting of up to one hour at a cost of £400 plus VAT (20%), total £480, where we can discuss with you the best way forward to resolve your issue, whether through mediation, negotiation or other forms of communication. And thanks to our network of offices covering Coventry, Leamington, Nuneaton, Stratford-upon-Avon and Southam we are very accessible too.

For timely and quality advice, please contact Parveen Sidhu, Head of Dispute Resolution Department at Alsters Kelley on 01926 356000 or email parveen.sidhu@alsterskelley.com