With the Renters’ Rights Act leading to the abolition of Section 21, landlords and agents must understand the transition from Assured Shorthold Tenancies (AST) to Assured Periodic Tenancies (APT) starting 1st May. This article outlines the implications and preparatory measures for professionals managing residential properties.
The Renters’ Rights Act introduces significant changes for landlords and letting agents by abolishing Section 21, the no-fault eviction notice process in England. This legislative shift takes effect with the transition from Assured Shorthold Tenancies (AST) to Assured Periodic Tenancies (APT) starting 1st May.
Understanding the Abolition of Section 21
Section 21 has historically allowed landlords to regain possession of their properties without providing a reason, provided they gave appropriate notice. Its abolition means that landlords will no longer be able to rely on this procedure to end tenancies. Instead, possession claims must be grounded in specific grounds as set out under Section 8 of the Housing Act 1988, marking a fundamental shift in landlord-tenant relations.
Transition from AST to Assured Periodic Tenancies
From 1st May, all new tenancies previously classed as Assured Shorthold Tenancies will be issued as Assured Periodic Tenancies. Unlike AST, which generally have fixed terms, APTs run on a rolling basis, typically monthly or weekly, depending on the rent payment frequency. This change means that fixed-term contracts with the protection of a no-fault eviction notice will cease for new agreements.
The practical effect is that landlords must meticulously document any grounds for possession and follow strict procedural requirements for serving notices under Section 8 where tenancy breaches occur or legitimate possession is sought.
Implications for Landlords and Agents
This legal development demands a thorough review of tenancy agreements and possession procedures. Agents and landlords should verify that all tenancies comply with the new legal standard, ensuring that tenants are fully informed of their rights under the Renters’ Rights Act.
Furthermore, the inability to use Section 21 notices elevates the importance of maintaining good landlord-tenant relationships and addressing any tenancy issues proactively to avoid possession disputes.
Recommendations for Compliance Preparation
Although this article does not constitute legal advice, agents and landlords should engage with professional legal counsel to update their tenancy agreements and possession processes accordingly. Comprehensive record-keeping and clear communication with tenants will be essential in navigating the new tenancy framework.
