Landlords in England face fines of £7,000 if they fail to comply with rules laid out in the Renters’ Rights Act.
The latest rule, which will come into force later this year, requires landlords to sign up to a new database designed to protect renters.
Other parts of the Renters’ Rights Act have already gone live.
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Since 1 May, there’s been a ban on ending tenancies verbally and they must be put into writing. Adding end dates onto tenancies is now also prohibited.
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Meanwhile landlords had until 31 May to hand over the government’s Renters’ Rights Act information sheet document to tenants.
New rules also require landlords to fix poor conditions in private rental properties, such as faulty electrics and fire hazards.
What are the new database rules?
The government has confirmed that a new Private Rented Sector (PRS) database will be rolled out from 15 December.
Landlords in the West Midlands will have to sign up to the ‘Register your rental property’ service first, with landlords across other parts of England being invited to sign up over the following 12 months.
Landlords will have a three-month period to sign up and face being fined by their local authority if they don’t. The cost of registering is £65 a year, per property.
The government claims the database will allow councils to better tackle poor practice among landlords and give renters access to more information to help them make informed decisions over where they live.
What other rules do landlords need to follow?
There are a host of other rules landlords now have to abide by or risk being fined by the council.
Landlords can’t ask for or accept rent from a tenant before a tenancy agreement has been signed between both parties.
They also cannot stop someone from viewing or renting a property just because they are on benefits or have children.
Rental properties also have to be advertised with asking prices, while landlords are banned from encouraging people to bid higher than this advertised price.
Councils can fine landlords £7,000 for breaking the rules and issue penalties of up to £40,000 in some circumstances, for example if landlords commit multiple breaches of the rules over a set period of time.
Landlords ignoring the rules can be reported by their tenants or may be found through council inspections.
What further rule changes are coming for landlords?
By the end of 2028, it will be mandatory for landlords to be members of a new Landlord Ombudsman before they can even list a property for rent.
Additionally, the minimum requirement for Energy Performance Certificates (EPCs) is due to rise from E to C in October 2030, while the full Decent Homes Standard will be introduced in 2035.
Under the standard, properties must be free from hazards, in a reasonable state of repair and with reasonable services such as a kitchen and bathroom and free from damp or mould.
Landlords can be fined up to £30,000 if their rental properties are found to be below the Decent Homes Standard.
If you are renting your property through a lettings agent, it is worth checking with them if you are compliant.
Lettings agency Kinleigh Folkard & Hayward suggests keeping clear records of agreements, inspections and communications, adding: “A well-organised system can make compliance easier and support positive tenant interactions, including maintenance requests.
“Landlords may find it beneficial to work with partner agents who offer online software to help with record keeping and to manage the additional requirements.”
